Pakistan is set to engage in crucial talks with the International Monetary Fund (IMF) for the completion of the second review under the $3 billion Standby Arrangement (SBA) program.
The discussions, anticipated to commence next week, will coincide with a formal request for a new deal under a 36-month Extended Fund Facility (EFF). The size of the EFF program, potentially ranging from $6 billion to $8 billion, may include climate finance.
The upcoming finance minister faces the challenge of meeting the Federal Board of Revenue’s tax collection target for March 2024, with the possibility of additional taxation measures if there is a shortfall.
Prime Minister Shehbaz Sharif chaired a meeting to overhaul the taxation system, emphasizing automation, digitization, and the need for international expertise. The government aims to achieve progress and prosperity by addressing challenges such as loan reduction and enhancing tax collection.
