ISLAMABAD: Minister of State for Finance and Revenue Ayesha Ghos Pasha on Wednesday slammed the International Monetary Fund (IMF) for “interfering” in Pakistan’s internal affairs.
“Pakistan’s conduct is in accordance with the law,” the minister of state said, calling IMF mission chief for Pakistan Nathan Porter’s statement – regarding Pakistan’s political situation – “extraordinary”.
While the IMF does not comment on domestic politics, Porter said the fund hopes to “find a peaceful way forward in accordance with the constitution and the rule of law.”
Hoping that the two sides would reach an agreement at the staff level ahead of the announcement of the federal budget expected on June 9 – for the financial year 2023-24, the minister of state said the delay was not good for either Pakistan. Nor for the fund. .
Dr. Pasha confirmed reports that Prime Minister Shehbaz Sharif contacted IMF Managing Director Kristalina Georgieva, adding that the Prime Minister assured the head of the fund that Pakistan would fulfill all its obligations.
On 27 May, Prime Minister Shehbaz contacted Georgieva, requesting him to assist Pakistan in reviving the frozen $6.5 billion facility.
Prime Minister Shehbaz – according to sources – requested his intervention to complete the pending ninth review – which would unlock $1.1 billion in financial assistance for the cash-strapped nation.
The coalition government has been in talks with the Washington-based lender to revive its bailout program since November, with financing gaps among the biggest hurdles. About $2.7 billion remains in the $6.5 billion program, which is set to expire next month.
In response to a question about Pakistan’s plan if it fails to convince the fund before the program expires on June 30, the minister said: “The finance ministry is not sitting blindly, all the time a It happens.Plan B. But the priority is to restore the IMF program.
More to follow…