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Home Economy

Pakistan, IMF likely to hold policy-level talks in Doha next week

by News Publishing
May 9, 2022
in Economy
Reading Time: 1 min read
0
Govt has received a draft MEFP from IMF  related to the completion of the ninth review of a $7 billion loan program, confirms Dar
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According to reports, talks between Pakistan and the International Monetary Fund (IMF) could start on May 18 in Qatar for ten days.

Before the discussions, the IMF imposed preconditions, including the elimination of petroleum subsidies, which is why the government is contemplating phasing out petrol and electricity subsidies.

The government is now subsidizing petroleum products by Rs. 65 billion, Rs. 21 billion for petrol, and Rs. 44 billion for diesel. The Ministry of Finance will prepare a strategy to scale down the subsidies this week and offer it to the IMF during the talks.

According to the sources, the subsidy per unit of electricity is also expected to be removed.

However, ending the subsidies on petroleum products and electricity could consequently increase inflation in Pakistan.

Tags: DohaIMFInflationlatestpolicy-level talks
News Publishing

News Publishing

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