Islamabad: Prime Minister Shehbaz Sharif sees “More burden” coming on already inflation-hit masses moving forward as Pakistan scrambles and meets International Monetary Fund’s (IMF) conditions for reviving stalled $ 1.1 billion loan tranche. Funds are part of $ 6.5 billion bailout package IMF approved in 2019, which analysts say is critical if Pakistan is to avoid defaulting on external debt obligations.

During an interview on private TV channel PM said that when he came into power, he and his partners were aware that situation was very bad and that Pakistan was on brink of default. But what he did not know was “Imran Khan had completely gone back on promises he made with IMF and I was also not aware IMF’s trust in Pakistan was also damaged to great deal”. He said that it was not only IMF’s conditions that were leading to historic-high inflation but Pakistan was also being impacted due to “Imported inflation”. Since his government came into power last year in April PM Shehbaz said Russia-Ukraine war broke out and resulted in increase in prices of fertiliser, oil and other commodities that nation imports. “ IMF’s toughest conditions have been met and we will sign staff-level agreement within few days,” he said. China friendly nation has forwarded $ 1.5 billion in loans to Pakistan.

China is only country that has announced refinancing of $ 2 billion loan and State Bank of Pakistan has already received $ 1.2 billion of that amount. Pakistan had to complete series of prior actions demanded by IMF, which included reversing subsidies in power, export and farming sectors, hike in energy and fuel prices, permanent power surcharge, jacking up key policy rate, market-based exchange rate and raising over 170 billion rupees in new taxation through supplementary budget. He expressed wonder that despite defying all courts, Khan is getting “Relief from everywhere”. When asked if Khan’s arrest push his popularity graph up, he replied that PTI leader has been trying his best to escape arrest till today.

 Replying to question about appointment of incumbent Army Chief, PM said that he made decision about appointing Asim Munir as Chief of Army Staff on merit.

To another question, PM expressed deep grief over murder of eminent journalist Arshad Sharif.

Published in The Daily National Courier, March, 15 2023

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