ISLAMABAD/WASHINGTON – Pakistani government has completed all requirements to receive the critical bailout money from International Monetary Fund and both sides are now in the final phase to seal the deal.
IMF Chief to Pakistan Nathan Porter lately confirmed that negotiations with Pakistani authorities are underway with the aim of reaching an early agreement. In a statement, she said Pakistan government has taken decisive measures to bring policies more in line with the economic reform programme.
Ms. Porter mentioned several moves like broadening of tax base in budget tweaks while opening up space for higher social and development spending as well as changes made in the foreign exchange market and increase in monetary policy.
Her statement comes on the heels of high-level telephonic contact between Prime Minister Shehbaz Sharif and IMF chief as Islamabad expects a decision on the IMF stalled bailout programme within a day or two.
The government makes desperate moves as experts fear that the dilapidated economy could default if the government fails to secure the much-needed loan tranche from US-based lender.
