Pakistan seeks US help to soften IMF terms

Pakistan has turned to US authorities asking them to use their diplomatic influence for convincing the IMF to soften loan conditions

Islamabad: Pakistan has turned to US authorities asking them to use their diplomatic influence for convincing the International Monetary Fund (IMF) to soften loan conditions as the country is passing through a critical phase both economically and politically.

This request was made by Federal Finance Minister Ishaq Dar in his meeting with the visiting Deputy Assistant Secretary of the US Department of the Treasury for Asia, Robert Kaproth, Geo News reported.

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The loan programme is stalled since months and the Shehbaz Sharif government is finding it hard to implement the lender’s conditions amid a tense political environment in the country with elections due in months.

The government is in a fix as imposing more taxes on the already-burdened citizenry will put the ruling alliance in a more difficult situation with inflation at all-time high and fast-depleting forex reserves.

The friendly countries have also told Islamabad that the revival of the IMF loan facility will unlock other sources of financial help badly needed for economic stability, Geo News reported.

Dar welcomedKaproth, and briefed him on the economic outlook of the country.

He apprised him that the government inherited a weak economic legacy and, despite challenging economic conditions, is focusing on fixing things in the right direction by introducing reforms in all sectors including the energy sector and capital market to achieve economic growth and development.

He said that due to pragmatic measures taken by the government, the country is destined for progress and development.

The Finance Minister also apprised him of the economic priorities of the government including putting the economy on the right path while fulfilling its international obligations.

Dar also shared with Kaproth the damages caused by the floods in Pakistan and their impact on the economy of Pakistan. He stressed that the government is handling all challenges with complete commitment, Geo News reported.