IMF conditions: Pakistan will have to present a governance action plan in accordance with the recommendations of the IMF. Four new conditions have also been added in the energy sector, in which the Pakistan government has to issue a notification for annual electricity tariff revaluation by July 1 and maintain the energy tariff at the cost recovery level by 2025.
IMF conditions: The way the IMF has imposed eleven new conditions on Pakistan in exchange for releasing the next installment of loan to it under the bailout program should be considered a result of India's pressure. The new conditions imposed by the IMF include getting the record 17.6 trillion Pakistani rupees federal budget approved by Parliament, implementing new agricultural income tax laws, return processing, identification and registration of taxpayers.
Pakistan will have to present a governance action plan in accordance with the recommendations of the IMF. Four new conditions have also been added in the energy sector, in which the Pakistan government has to issue a notification for annual electricity tariff revaluation by July 1 and maintain the energy tariff at the cost recovery level by 2025. Another condition states that the government will prepare and publish a plan for the financial sector strategy after 2027 and the institutional and regulatory environment from 2028.
Calling the increasing economic tension with India a threat to Pakistan, the IMF has also said that if the tension with India increases, it will have a direct impact on Pakistan's fiscal situation. But if we look deeply, it does not seem that the IMF will take such a big step as stopping the loan given to Pakistan. In fact, Pakistan has assured the IMF that it will take necessary steps to bring economic stability, create strong reserves and promote development. The way the IMF is trusting this claim of Pakistan is enough to tell the attitude of the International Monetary Fund.
The fact is that apart from the bailout program, Pakistan is to be given an additional aid of $1.4 billion in the name of climate change. India has opposed this, but Pakistan is going to get this loan due to the support of America and European countries. Due to this reason, there is little hope of taking concrete steps at the global level to stop the economic aid to Pakistan, the sponsor of terrorism. But at present, imposing new conditions on Pakistan is also not less.
