The International Monetary Fund (IMF) suggested on Wednesday that Pakistan tax the wealthy in order to help the underprivileged.
After meeting with acting Prime Minister Anwaar-ul-Haq Kakar, Kristalina Georgieva, managing director of the IMF, spoke exclusively to Geo News and stated, “Of course, it is difficult, but Pakistan has to do it in line with the IMF programme as we stand by the people of Pakistan.”
Regarding the reforms the lender is requesting the nation implement, she responded to a question by saying it is in the best interests of the Pakistani people for the nation to revitalise its economy and rectify some of the “shortcomings” of the past.
Pakistan and the IMF have agreed to a $3 billion bailout package, as part of which Pakistan will reform state-owned businesses, restructure the energy sector, and raise tax revenue.
However, the government’s actions have made life tough for the average person since a sharp increase in the price of gasoline and electricity has caused inflation to reach all-time highs.
The IMF rejected the interim administration’s plans to provide aid due to rising food and energy prices.
“Let me convey a straightforward message to every Pakistani. The two things we are pleading for in our programme are more tax revenue from the wealthy and protection for Pakistan’s underprivileged citizens, according to Kristalina Georgieva.
“I do think it’s in line with what people in Pakistan want for the country,” you say.
“Constructive conversation”
The discussion with the IMF president was described as “constructive” earlier by PM Kakar, who is in New York for the 78th UNGA session.
The meeting, according to him, “emphasised extending our mutual commitment towards supporting economic stability and growth in Pakistan.”
The prime minister expressed gratitude for the IMF accepting the loan to support Pakistan’s economy, according to a statement issued by the PM Office.
Kakar gave the IMF director a briefing on the numerous steps the government is taking to stabilise and rebuild the economy of the nation.
“The prime minister reaffirmed that the goal of these actions is to establish a secure and favourable environment for long-term investment and economic growth. Additionally, defending the weaker sectors of society has received a lot of attention.
IMF MD Kristalina Georgieva responded by praising Pakistan’s cogent efforts to put policies and reforms to work to rebuild the economy.
She reaffirmed the IMF’s commitment to continuing its relationship with Pakistan.
