Pakistan loses right to decide its budget, IMF to dictate Shehbaz govt

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Pakistani foreign exchange reserves quickly thin out, and the currency is traded in the lowest position of the dollar. The current coalition government led by Shehbaz Sharif was forced to present the budget in accordance with the direction and provisions of the IMF (IMF).

Senator Sherry Rehman, Minister of Federal Climate Change, blamed the former Pakistan Tehreek-I-I-Insaf (PTI) government led by Imran Khan by encouraging the nation to be very close to bankruptcy.

In the general debate of the National Assembly on the Federal Budget for the 2022-23 fiscal year, which lasted for almost three hours without quorum, Rehman commented, “This is really the IMF budget. There is no doubt about it, “.

Almost every legislator, except from Rehman, criticized the government of PTI and its leader, Imran Khan, for allegedly destroying the country’s economy.

Meanwhile, lack of money according to a report in the media on Wednesday, Pakistan has reached an agreement with foreign monetary funds (IMF) to continue the $ 6 billion aid package that is jammed and opens the door for funding from other international sources.

The make or break agreement was achieved on Tuesday night after the mission of the IMF staff and the Pakistan team, led by Minister of Finance Miftah Ismail, approved an understanding of the 2022-23 budget after the authorities were committed to producing Pakistani Rupees (PKR) RS 436 billion taxes more and increased Petroleum levies gradually up to RS 50 per liter, report the Dawn newspaper.

In July 2019, the agreement of the extended fund facility was $ 6 billion for the 39 -month period was agreed upon. Only 50 percent of the guaranteed amount has been paid so far. Pakistan really needs access to $ 1 billion to support the running low currency reserves, and the resuscitation of facilities will immediately provide that access.

Over the next few days, the Mission of the IMF and Negara Bank will complete the monetary target, and for the time being, they will share the Draft Memorandum of Economic and Financial Policy (MEFP).