ISLAMABAD: The International Monetary Fund (IMF) on Saturday described the approval of the 2024-25 budget as insufficient and asked Pakistan to do more, ARY News reported, citing sources.
The National Assembly yesterday approved the federal budget for the fiscal year 2024-25 with a total expenditure of Rs 18.870 billion.
According to sources, the IMF wants Pakistan to raise electricity and gas prices from July 1 and immediately implement the National Economic Reform Commission’s decision to increase gas and electricity tariffs.
The sources added that the International Monetary Fund also called for the cancellation of tax exemptions and support, describing them as “essential” for the country’s economic recovery.
But the IMF praised the government’s tough economic decisions in the budget, including cutting tax exemptions and subsidies, sources said.
Read: The National Assembly approves the 2024-2025 federal budget
The sources added that the visit of the International Monetary Fund delegation to Pakistan in the last week of June has been postponed, and the team is likely to visit the country in the second week of July.
It is appropriate that
It may be mentioned here that the total federal budget expenditure for the financial year 2024-25 is Rs. 18.877 trillion. The budget sets out the government’s financial policies and budget allocations for the coming financial year, reflecting a comprehensive plan to address various economic and social challenges.
Prime Minister Shehbaz Sharif
Earlier, Prime Minister Shehbaz Sharif said the government should prepare the budget for the fiscal year 2024-25 taking into account the recommendations of the International Monetary Fund.
Prime Minister Shehbaz expressed his hope for a good response from the IMF. He added: “If the response comes from the International Monetary Fund, we will present it (before Parliament) on Wednesday.”
IMF visit
An IMF delegation, led by Mission Chief Nathan Porter, visited Pakistan and held extensive negotiations from May 13 to 23 to discuss economic improvements in the country.
The statement stressed that the Pakistani government is making serious efforts to increase revenues, and stressed the need to collect taxes fairly from the distinguished sectors.