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IMF mulls quarterly check-ins amid Pakistan bailout slips

Under the Extended Funding Facility (EFF) $7 billion bailout programme for Pakistan, it was agreed that a progress review would be done every six months….reports Hamza Ameer

The International Monetary Fund (IMF) is seriously considering reverting to a three-month review schedule of Pakistan’s $7 billion bailout package after witnessing several major slippages by the government led by Prime Minister Shehbaz Sharif.

Under the Extended Funding Facility (EFF) $7 billion bailout programme for Pakistan, it was agreed that a progress review would be done every six months.

However, Pakistan’s progress and performance to ensure its compliance with the IMF plan and requirements saw many slippages, forcing the IMF Pakistan mission to land in Islamabad for an unscheduled visit and ensure that the government stays on track.

Sources reveal that the federal ministry of finance is also struggling to keep all provinces in check, thus ringing alarm bells for the IMF and forcing it to reconsider its initial understanding of a bi-annual review.

Under the IMF bailout package for Pakistan, IMF has agreed on compliance to at least 40 conditions to acquire the $7 billion deal.

Pakistan received the first tranche of the deal – about $1.1 billion – six weeks ago as an upfront payment. It was agreed that the remaining $6 billion would be released in six equal tranches after a successful review and completion of half-yearly reviews.

But, with the government facing serious challenges on multiple fronts – including taxation, external financing and fiscal – the IMF mission decided to conduct a three-month review, three months ahead of the scheduled review in March 2025.

Experts say that quarterly reviews are a better option and would keep Pakistan’s economic sail afloat.

“In case of quarterly reviews, the IMF can ensure strong implementation by keeping a close check on the government. The quarterly reviews would also strengthen the hands of the Ministry of Finance to ensure monitoring of the 40 conditions of the IMF,” said economist Shahbaz Rana.

The IMF Mission in Pakistan has already held several rounds of discussion on performance of the Federal Board of Revenue (FBR). It has also held a detailed meeting with the power sector and reviewed performances in relation to implementation of macroeconomic targets. Discussions are also underway to review the status of implementation of the National Fiscal Pact.

It should be noted that Pakistan’s performance during the first quarter of the IMF bailout programme has seen many hiccups, including a shortfall of about Rs 90 billion. FBR, during its briefing, maintained that the shortfall was because of macroeconomic assumptions, which went off the mark, coupled with slow growth in imports, slowing down inflation rate and also because many policy measures did not yield the expected results.

While Pakistan is giving all explanations in its kitty to justify the slippages, the IMF is yet to share its point of view. Reports suggest that the IMF is adamant on bringing a mini-budget, as committed and promised by Prime Minister Shehbaz Sharif.

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IMF raises India’s growth projection to 7%   

New Delhi, Dec 23 (ANI): Economic Counsellor and Director of the Research Department at the International Monetary Fund (IMF), Gita Gopinathin calls on Prime Minister Narendra Modi in New Delhi on Monday. (ANI Photo)

The forecast for growth in emerging market and developing economies has been revised upward and the projected increase is powered by China and India…reports Asian Lite News

The International Monetary Fund (IMF), in its latest outlook, has raised India’s growth projections for 2024 from 6.8 per cent earlier to 7 per cent, with the country maintaining the fastest-growing status in emerging markets and developing economies.

The IMF had earlier projected growth rate of 6.5 per cent for 2024, revising it to 6.8 per cent and now 7 per cent. India continues to be the fastest growing major economy.

For the year 2025, the IMF projected India’s growth rate at 6.5 per cent. It attributed robustness and strength in domestic demand and a rising working-age population behind its growth projections.

“Growth in India and China will account for almost half of global growth in 2024,” Gita Gopinath, First Deputy Managing Director of IMF and former Chief Economist at the IMF, said in a X post.

The forecast for growth in emerging market and developing economies has been revised upward and the projected increase is powered by stronger activity in Asia, particularly China and India. For China, the growth forecast has been revised upward to 5 percent in 2024, primarily on account of a rebound in private consumption and strong exports in the first quarter, IMF said.

“The forecast for growth in India has also been revised upward, to 7.0 percent, this year, with the change reflecting carryover from upward revisions to growth in 2023 and improved prospects for private consumption, particularly in rural areas,” IMF said.

According to official data of the Indian government, the country’s GDP grew at an impressive 8.2 per cent during the financial year 2023-24, and it continued to remain the fastest-growing major economy. India’s economy grew 7.2 per cent in 2022-23 and 8.7 per cent in 2021-22 respectively.

The Reserve Bank of India, in its latest monetary policy meeting, raised the GDP forecast for the current for 2024-25 to 7.2 per cent from 7 per cent earlier.

The World Bank too upwardly revised India’s GDP growth forecast for the current financial year 2024-25 by 20 basis points to 6.6 per cent from its earlier projection of 6.4 per cent made in January. World Bank said India will remain the fastest-growing of the world’s largest economies, although its pace of expansion is expected to moderate.

Morgan Stanley has forecast 6.8 per cent growth in India in 2024.

The United Nations recently raised India’s economic growth projections for 2024 from 6.2 per cent to 6.9 per cent, mainly driven by strong public investment and resilient private consumption.

Moody’s Ratings expects India to grow at 6.6 per cent in 2024-25.

Organisation for Economic Co-operation and Development (OECD) projects India to grow 6.6 per cent in the next two years.

The Asian Development Bank (ADB) had upgraded India’s gross domestic product (GDP) growth forecast for financial year 2024 from 6.7 per cent to 7 per. (ANI)

RBI Governor Shaktikanta Das last month said India was at the threshold of a “major structural shift” in its growth trajectory. He said the country was moving towards a path where 8 per cent GDP growth could be sustained on a yearly basis for a longer term.

The IMF report has upgraded the growth forecast for China for calendar year 2024 by 40 basis points to 5 per cent on account of a rebound in private consumption and strong exports in the first quarter. On a calendar-year basis, India’s growth projections are 7.3 per cent in 2024 and 6.5 per cent in 2025, according to the IMF.

IMF Chief Economist Pierre-Olivier Gourinchas said Asia’s emerging market economies remained the main engine for the global economy.

“Growth in India and China is revised upwards and accounts for almost half of global growth. Yet prospects for the next five years remain weak, largely because of waning momentum in emerging Asia,” Gourinchas said in a blog post. 

The IMF’s global growth projections are unchanged at 3.2 per cent for calendar year 2024 and slightly higher at 3.3 per cent in 2025.

The multilateral organisation has predicted the global inflation rate to slow to 5.9 per cent in 2024 from 6.7 per cent last year, broadly on track for a soft landing.

“The good news is that, as headline shocks receded, inflation came down without a recession. The bad news is that energy and food price inflation are now almost back to prepandemic levels in many countries, while overall inflation is not,” Gourinchas added.

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Aurangzeb: Pakistan needs higher tax revenues to exit IMF aid

Aurangzeb said that the “upcoming IMF programme will not be our last fund programme if we don’t bring our tax revenues up.”…reports Asian Lite News

Pakistan’s Finance Minister Muhammad Aurangzeb warned that Pakistan will stay in the IMF cycle if taxes are not increased, ARY News reported on Monday.

Aurangzeb said that the “upcoming IMF programme will not be our last fund programme if we don’t bring our tax revenues up.”

Aurangzeb maintained that he is hoping Pakistan will reach a staff-level agreement with the IMF this month, estimating the agreement to be worth USD 6-8 billion, ARY News reported.

He acknowledged that the government’s reliance on imports has led to a cycle of debt and borrowing, stressing the need to enhance the country’s ability to repay loans, ARY News reported.

The minister also mentioned the lack of trust in the Federal Board of Revenue (FBR) due to corruption and harassment, stating that people are hesitant to pay taxes due to these issues.

Aurangzeb emphasised that the government must demonstrate positive performance in the next 2-3 months to address the country’s financial challenges.

On July 6, employees of a private company staged a protest against the recently announced ‘tax filled’ budget 2024-25 which further burdened the inflation hit salary class citizens of Pakistan. Hundreds of employees of a private company participated in the protest staged at Islamabad’s Blue area.

The president of the private company stated that people are not able to bear the tax recently imposed by the government on the salaried class. He highlighted that the government should have revised the tax policy as the inflation-hit citizens already considering leaving the country. The protestors appealed to the government to withdraw the taxes imposed in the recently announced budget 2024-25. Last Month, the Finance Minister and other government officials failed to answer the questions asked by the journalists during the post-budget press briefing session in Islamabad. During the post-budget briefing session, a Pakistani reporter chastised the Pakistani government’s fiscal policies and their impact on the common citizen. (ANI)

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IMF releases $330m to crisis-hit Sri Lanka

People carry goods at a market in Colombo, Sri Lanka, on June 21, 2021. (Photo by Gayan Sameera/Xinhua/IANS)

The third IMF tranche out of a $2.9-billion bailout package to recover from the worst-ever economic crisis since Sri Lanka’s Independence….reports Asian Lite News

The Executive Board of the International Monetary Fund (IMF) approved Sri Lanka’s second review under the Extended Fund Facility (EFF) paving the way for the crisis-hit Indian Ocean Island to receive the third tranche of around $330 million.

“This achievement is a testament to our dedication to driving forward economic reforms and securing a prosperous future for all Sri Lankans. Onward and upward!” announcing the IMF’s financial approval, Minister of Foreign Affairs Ali Sabry said in a post on social media platform X.

The third IMF tranche out of a $2.9-billion bailout package to recover from the worst-ever economic crisis since Independence followed the release of a second tranche of $337 million last December.

Gradually recovering from the crisis, Sri Lanka has been progressing toward debt sustainability, raising revenue, rebuilding its reserves, reducing inflation and safeguarding financial stability.

The IMF approved the bailout package in March 2023, a year after the 22 million people in the island nation were plunged into turmoil as it grappled with crippling shortages of essential food, fuel and medicines.

The crisis triggered massive street protests which forced the powerful President Gotabaya Rajapaksa to flee the country and topple the government.

India played a major role in Sri Lanka to secure the IMF deal as the powerful neighbour issued the required guarantees sought by the Washington-based lender.

India’s Finance Ministry went on to the extent of issuing a letter to the IMF to confirm its support to Sri Lanka on the issue of debt restructuring.

Additionally, India also provided much-needed financial and humanitarian assistance of more than $4 billion.

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IMF Pins Global Growth Hopes on India

As China lags due to its real estate sector downturn and US sanctions causing economic strain, the IMF report highlights India and other G20 emerging markets like Brazil poised to lead global growth and trade…reports Asian Lite News

Multilateral institutions such as the IMF and UNCTAD view India as a potential driver of global economic growth going ahead, as the country has become the fastest-growing emerging economy while China’s GDP growth has been pegged at 4.6 per cent in 2024 and expected to slow down further to 4.1 per cent in 2025.

The IMF’s World Economic Outlook report, released on Tuesday, has not only raised India’s growth forecast by 0.3 percentage points to 6.8 per cent for 2024-25 but also sees the country as a bright spot “supporting global growth over the medium term and spill over to other countries”.

With China having fallen behind after the crash in its real estate sector and US sanctions triggering an economic slowdown, the IMF report views India and other G20 large emerging market countries such as Brazil playing a bigger role in the global trading system and pushing global growth going ahead.

The IMF report also vindicates India’s economic policy as it attributes the robust growth rate to a “strong domestic demand”, which has been created by a huge increase in government expenditure on large infrastructure projects such as highways, railways, ports and power plants along with a revival in rural demand.

Stepped-up allocations for agriculture, rural employment schemes such as MNREGA and special programmes for women self-help groups have helped to bolster rural demand and create a larger market for industrial products.

During the 10-year tenure of Prime Minister Narendra Modi’s government, over 90,000 kilometres of national highways have been built which is almost twice that constructed in the preceding 10 years, according to official figures.

Government investment in highway infrastructure shot up more than four-fold to a staggering Rs 2.4 lakh crore in 2022-23 from Rs 51,000 crore in 2013-14.

The latest UNCTAD (UN Conference on Trade and Development) report, released on Tuesday, forecasts global economic growth at 2.6 per cent in 2024, barely above the 2.5 per cent threshold commonly associated with a recessionary phase.

However, amid the gloomy global scenario, it states that India’s economy is buoyed by strong public investment and service sector growth, with a forecasted expansion of 6.5 per cent in 2024.

India is expected to maintain its rapid pace of road construction with the addition of up to 13,000 kilometres in 2024-25, an increase of 5 to 8 per cent over the previous year, according to a report released by rating agency ICRA on Tuesday.

“The pace of execution in this fiscal will be supported by a healthy pipeline of projects at above 45,000 km as of March 2024, increased capital outlay by the government and focus on completion of projects by the Ministry of Road Transport and Highways, ” the report states.

Government investments in big infrastructure projects create more jobs and incomes that have a multiplier effect on the economy as demand for products such as steel and cement also goes up, which leads to more private investments and employment. With the creation of more jobs demand for consumer goods also increases leading to a further acceleration in the country’s economic growth rate.

To ramp up the virtuous cycle of investment and job creation, the budget for 2023-24 sharply increased the capital expenditure outlay on infrastructure projects by 37.4 per cent to a whopping Rs 10 lakh crore from Rs 7.28 lakh crore in 2022-23.

The interim budget, presented by Finance Minister Nirmala Sitharaman in February has gone in for another 11.1 per cent increase in the outlay for infrastructure projects to Rs 11.11 lakh crore to spur growth. The increase that comes on top of a large base of the previous year will result in massive investments to spur growth. The Finance Minister pointed out that this will also attract big investments from the private sector which will add to the growth momentum.

Since the government has cut the fiscal deficit, it will need to borrow less which will leave banks more funds to finance the investments of private sector companies to accelerate growth and create more jobs.

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IMF Bullish on India

India remains the top performer among large economies this year, and the next, with China following at 4.6 pc in 2024 and 4.1 pc in 2025…reports Asian Lite News

The International Monetary Fund (IMF) has pegged India’s growth projection to 6.8 pc this year, an increase of 0.3 pc over its January 2024 update.

The IMF in its World Economic Outlook (WEO), released on Tuesday, said growth in India is projected to remain strong at 6.8 per cent in 2024 and 6.5 per cent in 2025.

The robustness reflects continuing strength in domestic demand and a rising working-age population, it added.

In its January 2024 update to WEO released in October, the IMF had projected the Indian Economy to grow at 6.5 per cent each in 2024 and 2025.

India remains the top performer among large economies this year, and the next, with China following at 4.6 pc in 2024 and 4.1 pc in 2025.

Growth of Global Output is expected to maintain a steady rate of 3.2 per cent this year, as well as in 2025, the pace it grew at in 2023.

“The global economy remains remarkably resilient, with growth holding steady as inflation returns to target,” the IMF observed.

Despite many gloomy predictions, the world avoided a recession, the banking system proved largely resilient, and major emerging market economies did not suffer sudden stops, the WEO added.

Futures markets suggest that oil prices will slide by 2.5 per cent year over year to average $78.60 per barrel in 2024 and will continue to fall to $67.50 in 2029, the IMF said, commenting on crude prices. It sees the risks to this price outlook as “balanced”.

“Upside price risks could arise from an escalation of the Middle East conflict and attacks on Russian oil infrastructure. Downside risks could arise from a slowdown in Chinese oil demand and strong non-OPEC supply growth, possibly coupled with a rise in OPEC+ oil supply to regain market share,” the IMF added.

Meanwhile, the latest UN Conference on Trade and Development (UNCTAD) report released on Tuesday forecasts global economic growth at 2.6 per cent in 2024 barely above the 2.5 per cent threshold commonly associated with a recessionary phase.

However, amid the gloomy global scenario, it states that India’s economy is buoyed by strong public investment and service sector growth, with a forecasted expansion of 6.5 per cent in 2024.

The report states that in Europe, countries like Germany and Italy are struggling with weak economic activity and facing industrial slowdowns and fiscal constraints, impacting their growth projections.

As far as the Americas are concerned, growth is expected to slow, with Argentina facing severe inflation, and Brazil’s economic momentum dampened by external pressures and reliance on commodities. North America remains relatively resilient, though challenges continue.

Africa is projected to grow at 3.0 per cent in 2024, up slightly from 2.9 per cent in 2023. Armed conflicts and climate impacts pose significant challenges in several countries.

Meanwhile, the continent’s largest economies – Nigeria, Egypt and South Africa – are underperforming, affecting overall prospects.

Growth in the Oceania region, particularly in Australia, is expected to remain subdued, with the low-growth period extending into 2024.

The report also observes that in 2023, global merchandise trade fell by about 1 per cent in real terms, marking a significant divergence from overall economic growth.

The contraction was partly due to trade tensions among some large economies and subdued global demand.

Over the last six months, disruptions in key shipping routes, such as the severe drought affecting the Panama Canal and attacks on vessels in the Red Sea, have strained merchandise trade further and significantly increased shipping costs, the report points out.

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UAE to participate in 2024 Spring Meetings of IMF, World Bank Group

The Spring Meetings of the International Monetary Fund and the World Bank Group will bring together central bankers, ministers of finance and development…reports Asian Lite News

The United Arab Emirates, represented by the Ministry of Finance, announced its participation in the 2024 Spring Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) taking place in Washington DC, from 15th to 20th April 2024.

Mohamed bin Hadi Al Hussaini, Minister of State for Financial Affairs, will head the UAE delegation, which includes Ali Abdullah Sharafi, Acting Assistant Undersecretary for International Financial Relations, Hamad Essa Al Zaabi, Director of the Office of Minister of State for Financial Affairs, Thuraiya Hamid Alhashmi, Director of International Financial Relations and Organisations at the Ministry of Finance, and several specialists from the Ministry of Finance and the Central Bank of the UAE.

On the sidelines of the Spring Meetings, Mohamed Al Hussaini will participate in the second G20 Finance Ministers and Central Bank Governors (FMCBG) Meeting led under the Brazilian presidency for the year 2024, and will deliver a keynote at the International Monetary and Financial Committee (IMFC) plenary, and chair the joint WBG-IMF Development Committee plenary.

The Minister will also meet with the IMF Managing Director Kristalina Georgieva and other participating finance ministers, central bank governors, and heads of regional financial institutions of the Middle East, North Africa, Afghanistan, and Pakistan (MENAP) region.

On the UAE’s participation in the upcoming Spring Meetings, Mohamed bin Hadi Al Hussaini emphasised the importance of further global collaboration to establish effective and sustainable solutions for all developmental needs. He also emphasised the critical role of the Spring Meetings of the IMF and WBG as a platform to facilitate extensive dialogue among a wide range of key stakeholders.

He said, “The UAE Ministry of Finance will aim to advance discussions on macroeconomic stability and debt sustainability, as well as address the ripple effects of geopolitical challenges on global trade and medium-term growth prospects. In the context of the current landscape, it will be vital to strengthen multilateral efforts to accelerate sustainable development and push the world towards an inclusive and resilient path.”

The Spring Meetings of the International Monetary Fund and the World Bank Group will bring together central bankers, ministers of finance and development, parliamentarians, private sector executives, representatives from civil society organisations and academics to discuss issues of global concern, including the world economic outlook, poverty eradication, economic development, and aid effectiveness.

The meetings will also feature seminars, regional briefings, press conferences, and other events focused on the global economy, international development, and the world’s financial system.

The main ministerial meetings and events will take place between 17th and 19th of April, with other sideline events and activities taking place during the week between 15th and 20th of April. (ANI/WAM)

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Kristalina Georgieva To Serve As IMF Chief For Second Term

The IMF Board commended Georgieva’s “strong and agile leadership during her term, navigating a series of major global shocks.”

The Executive Board of the International Monetary Fund (IMF) on Friday selected Kristalina Georgieva to serve as IMF Managing Director for a second five-year term starting on October 1, 2024.

The board’s decision was taken by consensus, according to a statement by the coordinators of the Executive Board, Afonso S. Bevilaqua and Abdullah F. BinZarah.

The decision was made nearly a week after the coordinators announced that Georgieva, the IMF’s current Managing Director, is the only candidate for the position, Xinhua news agency reported.

“In taking this decision, the Board commended Georgieva’s strong and agile leadership during her term, navigating a series of major global shocks,” the statement said.

Georgieva led the IMF’s unprecedented response to these shocks, including the approval of more than $360 billion in new financing since the start of the pandemic for 97 countries, debt service relief to the Fund’s poorest, most vulnerable members, and a historic Special Drawing Rights (SDR) allocation equivalent to $650 billion, the statement noted.

Under her leadership, the Fund introduced innovative new financing facilities, including the Resilience and Sustainability Facility and the Food Shock Window.

It also secured a 50 per cent quota increase to bolster the Fund’s permanent resources and agreed to add a third Sub-Saharan African chair to the IMF Board.

“Looking ahead, the Board welcomes Georgieva’s ongoing emphasis on issues of macroeconomic and financial stability, while also ensuring that the Fund continues to adapt and evolve to meet the needs of its entire membership,” the statement said.

Georgieva, a national of Bulgaria, has been the IMF’s Managing Director since October 1, 2019.

Before joining the Fund, Georgieva was Chief Executive Officer of the World Bank from January 2017 to September 2019, during which time she also served as interim President of the World Bank Group for three months.

She previously served at the European Commission as Commissioner for International Cooperation, Humanitarian Aid and Crisis Response, and as Vice-President for Budget and Human Resources.

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Imran Khan Faces IMF Snub

In another setback to Imran Khan, IMF refuses to interfere in Pakistan’s electoral dispute, reports Asian Lite News

The International Monetary Fund (IMF) has refused to interfere in Pakistan’s domestic policies after Imran Khan-founded Pakistan Tehreek-e-Insaf demanded it review the country’s February 8 polls before sanctioning any new economic package, the Express Tribune reported.

However, the IMF has encouraged Islamabad to hold ‘fair resolution’ of all electoral disputes.

This comes after incarcerated former PM Imran Khan penned a letter to the IMF, urging the global lender to give the poll results a thorough once-over before cutting any new cheques for Islamabad.

“If the country gets a loan in such a situation, then who will return it?” he questioned, expressing concerns that such a loan could lead to an increase in poverty.

Khan warned that without substantial investment in the country, the burden of loans would continue to rise, underscoring the need for political stability.

While breaking its silence on the PTI’s attempt to involve the global lender in political matters, an IMF spokesperson instead showed readiness to negotiate the next medium-term programme with the newly-elected government.

“The IMF, as an international institution with a narrow mandate on economic issues, does not comment on domestic political developments,” said the IMF spokesperson while commenting on the letter written by the PTI.

The IMF said that it received a letter from a PTI spokesperson on February 28 regarding the Fund’s engagement with Pakistan under the programme, as reported by Express Tribune.

Notably, PTI has throughout termed the Feb 8 polls as ‘disputed’ while alleging a lack of ‘level playing field’. The party claims to have won about 177 seats as against 92, which were notified by the Election Commission of Pakistan (ECP) as independently elected members of the National Assembly. The PTI has also claimed to have documentary evidence of rigging in the elections and demanded that the IMF should play a role in conducting the investigations.

“Given the importance of the institutional environment for economic stability and growth, we do encourage the fair and peaceful resolution of all electoral disputes,” said the IMF spokesperson.

The IMF’s current USD 3 billion short-term bailout package is expiring before the middle of next month and Prime Minister Shehbaz Sharif has already given a go-ahead to the Finance Ministry to begin discussions for signing a new Extended Fund Facility (EFF).

The last EFF had expired in June without the disbursement of the USD 2.6 billion loan amount due to Pakistan’s failure to meet the programme conditions.

The last loan tranche of $1.2 billion of the current programme remains undisbursed and the IMF is waiting for the formation of the federal cabinet before sending a mission to Pakistan.

“We look forward to engaging with the new government to complete the second review under the current Stand-by Arrangement and, should the government request, support the formulation of a new medium-term economic programme,” according to the IMF spokesperson.

The spokesperson said that the IMF’s aim is to support the implementation of strong policies to deepen financial stability, address long-standing economic and underlying balance of payments challenges, and restore sustained and inclusive growth for the benefit of all Pakistani citizens, Express Tribune reported. (ANI)

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Imran Seeks IMF Election Audit Before New Loan

Pakistani Prime Minister Imran Khan.(photo:instagram)

Former PM Imran Khan warned that the loan would lead to more poverty and add to the country’s burden.

Pakistan Tehreek-e-Insaf (PTI) founder and former Prime Minister, Imran Khan, confirmed on Friday that he had sent a letter to the International Monetary Fund (IMF) demanding that it hold an audit of the election results before approving any new loan for Islamabad, The News International reported.

“The letter has been written to the IMF and will be dispatched today. If the country gets a loan in such a situation, then who will return it?” PTI leader told media during a hearing of the £190 million reference at Adiala Jail.

The former PM warned that the loan would lead to more poverty and add to the country’s burden.

According to the News International report, Khan’s update about the letter comes a day after PTI senator Ali Zafar announced that the party founder had decided to write to the global lender urging it to call for an audit of the February 8 election before it continues talks with Islamabad for a new loan programme.

However, the IMF, on Saturday, expressed willingness to work with the new Pakistani government, ignoring his demand, the news report stated.

Meanwhile, former Finance Minister Ishaq Dar said the letter holds no significance, adding that if the PTI founder has written against the country’s national interest then it is condemnable.

“Writing anything for personal gain is shameful. PTI founder’s letter will have no significance,” Dar, a senior leader of the Pakistan Muslim League-Nawaz (PML-N), told media outside the Punjab Assembly.

Pakistan’s former Finance Minister Ishaq Dar

Pakistan secured a short-term USD 3 billion programme from the IMF last year which helped to avert a sovereign debt default. It will run out next month and securing a new and much bigger one is widely seen as the priority for the new administration, Geo News reported.

With the Pakistan Muslim League-Nawaz (PML-N), the Pakistan Peoples Party (PPP), and their allies striking a deal to form a coalition government, the PTI and some other political parties have altogether rejected the elections and announced country-wide protests.

The PTI has demanded election results be issued based on Form 45–the results of a single polling station instead of Form 47–the consolidated results of a constituency, as the party claimed the votes were rigged after its Independent candidates won a simple majority in the National Assembly. (ANI)

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