Shabaz sharif urged structural reforms following the revival of the International Monetary Fund (IMF) program.
Prime Minister Shehbaz Sharif on Tuesday said Pakistan will need to “work hard” for self-sufficiency and urged structural reforms following the revival of the International Monetary Fund (IMF) program.
The revival of the IMF program was “critical” to the economy, tweeted PM Shehbaz. However, the economic stability brought by the IMF deal is just the beginning and “not an end in itself”, he added.
“Pakistan must break out of the economic straitjacket, which is only possible through structural reforms.”
Revival of the IMF program, though critical to our economy, is not an end in itself. It offers a pathway to reorient our economy. We will have to work hard to make it self-sufficient. Pakistan must break out of the economic straitjacket, which is only possible through structural reforms.
— Shehbaz Sharif (@CMShehbaz) August 30, 2022
IMF approved the $1.1 billion installment
The IMF approved the $1.1 billion installment for Pakistan on Monday and revived Pakistan’s bailout program after an interval of six months, ending the uncertainty that multiplied over the past three days due to maneuvering by the Pakistan Tehreek-e-Insaf (PTI).
The global lender also approved an increase in the loan size by $0.5 billion and extended its expiry date to June 2023. With the augmentation, the program size has been increased to SDR4.988 billion, which is equivalent to 245.6% of Pakistan’s quota.
The board also waived off the conditions Pakistan did not meet during the January-June 2022 period. PTI had tried to spoil the deal by manipulating the Punjab and Khyber-Pakhtunkhwa governments to backtrack from their commitments to the IMF program in retaliation to the case against Imran Khan under the Anti-Terrorism Act.
With the fresh approval, the disbursement would increase to $3.9 billion, leaving a balance of $2.6 billion to be disbursed till June next year. The next IMF review will take place in November to assess the country’s economic performance in the July-September 2022 period.
The premier also expressed that the resumption of the IMF program is a major step towards getting Pakistan’s economy back on track and was the result of “excellent team effort”.
The revival of the IMF program was “critical” to the economy, tweeted PM Shehbaz. However, the economic stability brought by the IMF deal is just the beginning and “not an end in itself”, he added.
I am a dedicated student currently in my seventh semester, pursuing a degree in International Relations. Alongside my academic pursuits, I am actively engaged in the professional field as a content writer at the Rangeinn website.
