IMF raised questions over relief package announced by PM

International Monetary Fund (IMF) raised more questions over the financing of a relief package announced by the prime minister last month, Pakistan may not be able to draw the next tranche of the $6 billion Extended Fund Facility (EFF) for over a month.

In a televised address to the nation at the end of February, PM Imran Khan had announced a reduction of Rs10 per litre in petrol/diesel and Rs5 in electricity prices. He further claimed the rates would remain stable until the next federal budget.

Official sources told Dawn that the IMF mission and Pakistani authorities remained engaged in discussions on the seventh review of the Fund programme, and decided to meet again on Monday. The sources said a final round of policy-level talks between Finance Minister Shaukat Tarin and the Fund mission was being scheduled for Tuesday.

They said the IMF team asked more questions about the financing of the prime minister’s relief package. They also expressed concern over the growth prospects in view of a major cut in the Public Sector Development Programme, and wanted precise project details that would be affected by this cut.