Page 14 - Imf

IMF criticises Pakistan's tax scheme, calls budget 'missed opportunity'

The IMF on Wednesday said that the proposed budget missed the opportunity to broaden the tax base

IMF raises issues with Pak's FY23-24 budget; calls it 'missed opportunity'

The IMF has raised several issues in Pakistan's budget for the fiscal year 2023-24, calling it a "missed opportunity" but expressed its readiness to work with the cash-strapped country to refine the budget ahead of its passage in Parliament. The government unveiled a Rs 14.4 trillion budget for 2023-24 in the National Assembly last week as it battled to fend off a looming default due to shrinking foreign reserves. A day before its tabling, IMF Resident Representative for Pakistan, Esther Perez Ruiz, said Pakistan needed to satisfy the Washington-based lender on three counts, including the budget for the upcoming fiscal year before its board reviews whether to release at least some of the USD 2.5 billion pending disbursement under the 2019 Extended Fund Facility (EFF) set to expire at the June end. In a statement late on Wednesday, Ruiz said that a new tax amnesty scheme proposed by the government in the budget sets a damaging precedent and runs against the programme's conditionality

Pak may fail to restart $6.7 bn bailout, default on sovereign debt: Moody's

Moody's Investors Service has warned that Pakistan is at an increased risk of failing to restart its $6.7 billion bailout programme with the International Monetary Fund (IMF)

All conditions met, no hurdle left in striking IMF deal: Pak PM Shehbaz

Prime Minister Shehbaz Sharif has expressed his optimism that Pakistan, which has fulfilled "all the preconditions" of the IMF, will still be able to sign a staff-level agreement with the global lender to revive the stalled bailout programme for the cash-strapped country. Sharif's remarks came as many believe that Pakistan's chances for the revival of the current USD 6.5 billion IMF programme have almost diminished before it expires on June 30. Out of the USD 6.5 billion package, the IMF has not yet disbursed $2.6 billion to Pakistan. Addressing a ceremony here on Sunday, Sharif still appeared optimistic about that deal with the global lender and while referring to the government's plan B, said, If the agreement with the IMF is (further) delayed, then I will address you. The International Monetary Fund (IMF) signed a deal in 2019 to provide USD 6 billion to Pakistan on fulfilment of certain conditions. The plan was derailed several times and the full reimbursement is still pending

Pakistan finance minister hints at 'Plan B' as IMF loan remains locked

Apparently writing off the International Monetary Fund (IMF) programme, Pakistan Finance Minister Ishaq Dar has hinted at the government's so-called 'Plan B', Pakistan-based Dawn reported

Pak PM hopes to strike IMF deal as 'all conditions met' despite hardship

Pakistan Prime Minister Shehbaz Sharif on Friday hoped the IMF would resume the stalled USD 6.7 billion bailout programme as his country has already met all prior conditions set by the global lender despite economic hardships. The premier's remarks came as Finance Minister Ishaq Dar presented a PKR 14 trillion budget for the fiscal year 2023-24, which the government claims to have shared with the International Monetary Fund (IMF). The budget needs to satisfy the IMF to secure the release of more bailout money for the cash-strapped Pakistan, which is due to hold a general election by November. "The ninth review will be complete soon," Sharif said during his address to the federal cabinet of the coalition government, which presented its second budget. Referring to the devastating floods triggered by climate change, he said it inflicted losses worth over USD 30 billion on the country's economy. He added that the Ukraine crisis also pushed the prices of commodities in the internation

Pakistan PM Sharif tells FinMin to follow IMF parameters in budget: Report

Pakistan Prime Minister Shehbaz Sharif has directed the finance ministry to ensure that the budget is in line with the parameters set by the IMF, amid ongoing negotiations with the global lender for a bailout package for the cash-strapped country, according to a media report on Wednesday. The country's budget is likely to be presented on Friday. A week back, Sharif held a telephone conversation with International Monetary Fund (IMF) Managing Director Kristalina Georgieva and urged her to revive the USD 6.5 billion deal that was initially signed in 2019 and is set to expire by the end of this month. Geo News, citing an informed source, said Sharif, during a meeting with Finance Minister Ishaq Dar on Tuesday, expressed optimism that the government would reach an agreement with the IMF. The source also dismissed speculation that the government would present a populist election-year budget and said, "Pakistan can't afford any budget that violates the set basics of the IMF." The prime

Trouble mounts for Pakistan govt as IMF rejects $6 bn loan request

The IMF has already paid $3.9 billion of the overall $6.5 billion rescue package during the past four years, with the remaining amount depending upon the conclusion of three outstanding reviews

Cause and effect: Are corporate profits fueling inflation globally

As the Federal Reserve continues with hikes, the linkage between corporate profit margins and inflation is blamed for consumer burden

Lanka central bank unexpectedly cuts rates by 250 bps as inflation eases

The index peaked at a 69.8% year-on-year surge in September last year. The national inflation rate was at 33.6% in April, easing from 73.7% in September

Pakistan minister slams IMF for 'intervening' in internal affairs

A senior minister on Wednesday slammed the IMF for "intervening" in Pakistan's internal affairs, asserting that a delay in finalising the bailout package is neither good for the country nor the Washington-based global lender. In an unusual move, the International Monetary Fund (IMF) on Tuesday urged Pakistan to resolve its political disputes in line with the "Constitution and rule of law." The remarks by IMF Mission Chief to Pakistan Nathan Porter came after Prime Minister Shehbaz Sharif contacted Kristalina Georgieva, the chief of the global lender to revive the much-awaited USD 6.5 billion bailout package in a last-ditch effort to avoid a possible default. We take note of the recent political developments, and while we do not comment on domestic politics, we do hope that a peaceful way forward is found in line with the Constitution and rule of law, IMF Mission Chief to Pakistan Nathan Porter said, days after Sharif discussed Pakistan's bailout package with IMF Managing Director ..

Resolve political disputes in line with 'Constitution', IMF tells Pakistan

Cash-strapped Pakistan and the IMF have failed to reach a staff-level agreement on the much-needed $1.1 billion bailout package aimed at preventing the country from going bankrupt

Ukraine's economy shows 'resilience' from Russian attacks, says IMF

Ukraine's economy is showing remarkable resilience following Russian attacks on its electricity infrastructure, officials from the International Monetary Fund said Tuesday as they signed off on an initial loan of USD 900 million and raised their estimate for the country's economic growth. The outlook improved to 1% to 3% growth this year from minus 3% to plus 1% in an earlier assessment in March, said Gavin Gray, the IMF's mission chief to Ukraine. Inflation is coming down and the hryvna currency is stable despite the massive disruption of the war, Gray said. But he warned that the economic outlook faces exceptionally high risks. Through the winter, Ukraine faced devastating attacks on its critical infrastructure, and missile strikes continue countrywide, Gray said in an online news conference. Despite this, the Ukrainian economy has shown remarkable resilience economic activity in the first quarter rebounded strongly, as the energy system rapidly recovered from attacks on critical

IMF sets out preconditions for Pakistan to secure $6.5 bn bailout package

At a time when Pak economic condition continues to worsen and inflation levels remain on a consistent high, IMF has taken note of political developments, urging Islamabad to follow constitutional laws

IMF urges crisis-hit Sri Lanka to decide on debt restructuring: Report

China's role as Sri Lanka's main creditor has drawn global attention, as the delay caused by China in obtaining the IMF bailout is being closely monitored and questioned

UK economy will avoid recession this year but inflation still a worry: IMF

The British economy will avoid falling into recession this year, according to upgraded growth forecasts Tuesday from the International Monetary Fund. In its latest assessment of the U.K. economy, the Washington-based fund said domestic demand had proven more resilient than anticipated in the face of the surge in energy costs. The IMF now thinks the British economy will grow by 0.4 per cent this year, up from its previous prediction of a 0.3 per cent decline. The forecast aligns with that from the Bank of England, which also upgraded its economic outlook this month. However, the IMF said inflation is likely to remain stubbornly high over the coming years and only return to the Bank of England's target of 2 per cent in mid-2025, six months longer than it predicted earlier this year. Like other central banks, the Bank of England has been raising interest rates aggressively over the past 18 months or so after inflation spiked sharply, first because of bottlenecks caused by the coronavi

Pakistan likely to turn to China for a bailout as IMF deadlock continues

Pakistan is now looking for a 'Plan B' for averting full fledge eruption of the balance of payment crisis

With resilient growth in India, Asia-Pacific remains dynamic region: IMF

Pacific is projected to increase this year to 4.6 per cent, up from 3.8 per cent in 2022. As a result, the region would contribute around 70 per cent to global growth

IMF: US default to have 'very serious repercussions' on global economy

Treasury Secretary Janet Yellen has warned that a default on US payments could come as early as June 1 if Congress fails to raise the borrowing cap

Sitharaman meets IMF chief Georgieva on sidelines of G7 meet in Japan

She is on a two-day visit to Japan. The G7 meeting is taking place in Niigata