Khurram Dastgir, the Power Minister of Pakistan, informed that the country is close to finalizing a deal with the International Monetary Fund after reaching an agreement on nearly all topics under negotiation.
With a $350 billion economy, Pakistan is looking for a crucial installment of $1.1 billion from the IMF to prevent default. The IMF has identified a gap of approximately Rs900 billion, equivalent to 1% of the GDP, which posed a challenge in reaching a staff-level agreement. During a program on Monday, the Minister stated that the IMF has not asked the government to reduce its defense budget.
“Instead, they [the IMF] have asked the Energy Division to reduce its losses,” said the minister. He added that the global lender has also called upon the government to cut down line losses in the country’s northern, southern and western areas.
He added that Pakistan will need to increase tax revenues and cut losses after the Fund made it plain that the nation would need to get its house in hand.
Since the US departed from Afghanistan, Dastgir claimed, the international powers are unwilling to be sympathetic with Pakistan.
