ISLAMABAD: Pakistan has started formal negotiations with the International Monetary Fund (IMF) for a new 3-year loan program.
In the monthly report released by the Ministry of Finance, it is stated that formal negotiations have started with the IMF for a new 3-year loan program. The IMF loan program is very important for a stable policy because the loan program will stabilize the external sector. And investment in Pakistan will increase.
According to the report, remittances, exports, foreign direct investment, foreign exchange reserves, FBR revenues and non-tax income have increased in the current financial year. Non-tax revenue recorded a 94.8 per cent increase in the current financial year, while the rupee has improved and inflation has come down.
After the approval of the loan targets by the Parliament, there will be negotiations with the IMF on the loan program
The report stated that remittances recorded a 3.5 per cent increase compared to the previous fiscal year, exports increased by 10.6 per cent compared to the previous fiscal year and imports decreased by 5.3 per cent in the current fiscal year.
According to the report, foreign investment increased by 93.1% in 10 months and foreign exchange reserves increased by 5 billion dollars in 10 months, while the value of rupee increased by 9 rupees in one year.
The report further states that the current financial year fiscal deficit increased by 26.8 per cent while inflation decreased from 28.2 per cent to 26 per cent.