Pakistan reaches staff-level agreement with IMF

ISLAMABAD: After the completion of two outstanding program reviews, the International Monetary Fund (IMF) announced a staff-level agreement with Pakistan and increased the total loan size to USD 7 billion.

The IMF statement revealed that Islamabad should be ready to “take any additional measures.” Additionally, against the primary budget surplus target of Rs. 153 billion (0.2% of GDP) set in the newly revised budget, IMF has in fact given the target of 0.4% of GDP.

Therefore, in order to attain this target, the government of Pakistan must be prepared to either require more revenue measures or cut down its expenditure, excluding development expenditures.

The Finance Minister of Pakistan, Miftah Ismail, announced the agreement in a tweet and thanked, “ the PM, my fellow ministers, secretaries and especially the finance division for their help and efforts in obtaining this agreement.”

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