Tarin hints at ‘renegotiating’ IMF agreement
Finance minister says global lender’s demand for electricity tariff hike ‘unjustified’
Reuters
May 03, 2021
Finance Minister Shuakat Tareen. PHOTO: FILE
Federal Finance Minister Shaukat Tarin has termed the International Monetary Fund’s (IMF) demand for increase in electricity tariff “unjustified”, hinting at “renegotiations” with the global lender on loan conditions.
Speaking in a meeting of the National Assembly Standing Committee on Finance on Monday, Tarin presented a grim view of the national economy. “The economy is stagnant while the country did not have short-, medium- and long-term economic policies.”
Tarin stressed that tough decisions will have to be taken to revive and stabilise the economy. “If the growth rate did not reach at least 5%, the country’s integrity will be at stake in four to five years,” the minister told the meeting, chaired by its chairman Faizullah Kamoka.
Pakistan Govt Whopping Rs1 27tr hike in taxes committed with IMF – Voice Of Vienna voiceofvienna.org - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from voiceofvienna.org Daily Mail and Mail on Sunday newspapers.
Pakistan has made a commitment with the International Monetary Fund (IMF) to increase FBR taxes by a massive Rs1.272 trillion (almost 2.8 per cent of GDP) in the coming budget. AFP/File
ISLAMABAD: Pakistan has made a commitment with the International Monetary Fund (IMF) to increase FBR taxes by a massive Rs1.272 trillion (almost 2.8 per cent of GDP) in the coming budget and jack up electricity rates by almost Rs4.97 per unit in the remaining three months of the current fiscal year.
According to documents released by the IMF after approval by its executive board of directors of the modified extended fund facility (EFF), the government has also given an undertaking to continue making electricity tariff adjustments next year on monthly, quarterly and annual basis through “automaticity” of regulator Nepra’s amended powers.
Ahsan Iqbal and other members from the Opposition were of the stance that financial impact of any ordinance to public should also be considered. DawnNewsTV
ISLAMABAD: Majority of the members of the National Assembly’s Standing Committee on Finance on Wednesday strongly criticised the government for implementing financial decisions through presidential ordinances, saying it was violation of the constitution and an insult to the parliament.
The meeting of the committee presided over by PTI lawmaker Faiz Ullah dropped detailed discussions on State Bank of Pakistan Amendment Bill 2021 and the revised IMF programme on the request of the chairman saying some proponents of the agenda items could not make it to the meeting.
Car assemblers have said that electric vehicles will remain out of the reach of people as these are 140% more expensive than conventional cars despite a recent reduction in taxes, urging the government to instead promote hybrid cars