Finance Minster Aurangzeb set to secure $1.1bn loan tranche after meeting all IMF targets.
The Finance Ministry, in a statement issued Wednesday, affirmed the nation’s commitment to fulfilling the IMF program requirements, marking a crucial step towards securing the final disbursement under the Stand-By Arrangement (SBA),
Pakistan has successfully met all Structural Benchmarks, Qualitative Performance Criteria, and Indicative Targets set by the International Monetary Fund (IMF) ahead of its second review of the $1.1 billion tranche.
The impending review, scheduled from March 14 to 18, holds the promise of a staff-level agreement, paving the way for the disbursement following approval from the IMF’s Executive Board.
Prime Minister Shehbaz Sharif, steering the nation through these pivotal economic negotiations, has directed his finance team, led by Finance Minister Muhammad Aurangzeb, to embark on seeking an Extended Fund Facility (EFF) post the SBA’s expiration in April.
In his inaugural media briefing, Minister Aurangzeb outlined a comprehensive strategy aimed at fostering economic growth and stability. Emphasizing the need for a “large and long program” under the EFF, he hinted at engaging in foreign inflows through commercial financing and international bond issuance.
“The era of relying solely on deposits and rollovers from friendly partners is over,” the minister stated, underlining the imperative of presenting viable and bankable projects to attract investments.
Despite acknowledging a trust deficit with the IMF, Minister Aurangzeb assured a diligent approach towards program implementation, exploring avenues such as climate financing and bolstering the allocated quota under the EFF program during upcoming negotiations.
END TO END DIGITIZATION OF TAX SYSTEM IS TOP PRIORITY: FINANCE MINISTER
Finance Minister Muhammad Aurangzeb on Wednesday visited the Federal Board of Revenue (FBR) Headquarters in Islamabad and stressed upon the urgent need for digitizing the FBR to enhance transparency and efficiency in tax collection.
Chairman FBR Malik Amjed Zubair Tiwana warmly welcomed the Minister who led an introductory meeting with the FBR board members to discuss the board’s performance and future initiatives. In the meeting, Minister Aurangzeb stressed the urgent need for digitizing the FBR to enhance transparency and efficiency in tax collection.
These initiatives would focus on enhancing tax collection through improved FBR governance, comprehensive documentation of the economy, and full-scale digitization.
The government is considering strategies to broaden the tax base by incorporating wholesale/retail, real estate, and agriculture sectors into the tax framework Finance Minister Aurangzeb stated that digitization is a means to an end and implementing digital solutions are pivotal to modernizing our tax administration.
IMF estimates Pakistan’s tax-to-GDP ratio stands at 2.9%
He said that by leveraging technology and enhancing transparency, we can build a more equitable tax system that fosters economic growth and benefits all citizens. The meeting concluded with a firm commitment from both sides to work towards promoting the welfare of the Pakistani people.
Minister Aurangzeb praised the dedication of the FBR team and pledged the government’s full support in implementing transformative measures. The Finance Minister’s visit to the FBR Headquarters underscores the government’s dedication to strengthen fiscal governance and promoting economic prosperity in Pakistan.
PSX stays bearish, loses 753 more points.
The 100-index of the Pakistan Stock Exchange (PSX) witnessed bearish trend on Wednesday, shedding 753.26 points, a negative change of 1.16, closing at 64,048.44 points against 64,801.70 points the previous trading day.
A total of 252,751,968 shares valuing Rs 9.247 billion were traded during the day as compared to 321,709,242 shares valuing Rs 10.857 billion the last day.
Some 329 companies transacted their shares in the stock market; 52 of them recorded gains and 257 sustained losses, whereas the share prices of 20 remained unchanged.
The three top trading companies were Cnergyico PK with 19,852,025 shares at Rs 4.63 per share, Bank of Punjab with 18,744,663 shares with 6.02 per share and K-Electric Limited with 14,394,256 shares at Rs 4.40 per share.
Unilever Pakistan Foods Limited witnessed a maximum increase of Rs 200.00 per share price, closing at Rs 21,400.00, whereas the runner-up was Bata Pakistan Limited with a Rs 20.00 rise in its per share price to Rs1,670.00.
Allawasaya Textiles and Finishing Mills Limited witnessed a maximum decrease of Rs 108.00 per share closing at Rs 1,352.00, followed by Mari Petroleum Company Limited with Rs 74.57 decline to close at Rs 2,357.60.
Comments are closed, but trackbacks and pingbacks are open.