Aurangzeb upbeat on IMF board’s nod for $7bn loan programme today

Federal Finance Minister Senator Muhammad Aurangzeb is confident that the IMF Board will approve a $7 billion, 37-month loan deal for Pakistan. The agreement reached in July is subject to approval from the IMF executive board and financing assurances from development and bilateral partners. Pakistan is committed to structural reforms in taxation, energy, state-owned enterprises, and privatization. Despite public backlash, the government is moving forward with new taxes on the retail sector to meet revenue targets for the loan approval. The minister also highlighted economic improvements in Pakistan, including stable currency and foreign exchange reserves, decreased inflation, and increased investment inflows. The government is focused on promoting economic stability, with the China-Pakistan Economic Corridor Phase II underway to attract global investment partners. Senator Aurangzeb urged Saudi Pak and Pak-China DFIs to facilitate cross-border investments and corridor development to drive business growth and bilateral investments.