Kristalina Georgieva, managing director of the International Monetary Fund (IMF), said a review of policy talks with Pakistan is expected to come within this week.
“I expect the review agreement to come within this week. So any day now, the head of the global lender told Bloomberg on Wednesday, assuring Anchor that a deal was too “ close”, As Pakistan approaches successful policy level negotiations with the IMF.
“The IMF chief said, “Pakistani officials and the finance minister deserve credit for sticking to their program in difficult times.
She kept saying that the biggest problem in Pakistan is tax collection. “The country today collects 12% tax on GDP. We are saying that the revenue must be at least 15% to sustain the functioning of your economy.”
“He added, “Therefore, please, for those in Pakistan who can pay taxes, they can collect it from them.
Meanwhile، Officials familiar with the ongoing talks between Pakistan and the IMF mission told Geo News on condition of anonymity that Islamabad had imposed 40 per cent Consent is expressed% $ 3 billion on the profits of the banking sector under the terms of the global lender to secure the second installment for the staff level agreement under the Standby Arrangement (SBA) Windfall tax.
Sources added that Nathan Porter — and the IMF mission — led by the Pakistani economic team have also completed discussions in all areas.
The Pakistani delegation was led by caretaker Finance Minister Shamshad Akhtar and included State Bank of Pakistan (SBP) Governor Jamil Ahmed، The chairman of the Federal Board of Revenue (FBR) was Malik Amjad Zubair Tiwan, and officials from the Ministry of Finance and Energy.
Sources added that windfall taxes of up to Rs. 55 billion will be levied for the financial years 2021 and 2022. Banks’ profits will be taxed in December.
According to sources in the Ministry of Finance, the financial bill does not require any amendment to enforce the windfall tax on the banking sector.
“The source added, “However, the windfall tax will have to be approved by the federal cabinet.
In addition, the IMF delegation and the economic team can draft the Memorandum of Economic and Monetary Policy (MEFP) today, sources said.
Sources in the Ministry of Finance added that the parties have also agreed not to raise interest rates further.
