ISLAMABAD: As the talks with the International Monetary Fund (IMF) over the $6.5 billion bailout program concluded on Thursday, Prime Minister Shehbaz Sharif approved the deal with the international money lender saying all matters were settled, sources said.
Sources privy to the development said the IMF delegation had a meeting with PM Shehbaz Sharif via video link which was also attended by Finance Minister Ishaq Dar. The IMF would approve the release of a $1.1 billion loan tranche after the IMF board conducted the country’s economic assessment, sources added.
In order to unlock the next tranche, the lender required Pakistan to increase levies on petrol, diesel, and gas; decrease circular debt and reform the power sector; collect up to $5 billion in funds from friendly countries; introduce a mini-budget to increase taxes; make public departments profitable; ensure compliance on privatisation scheme; and maintain market-based exchange rate policy.
