The IMF subjects the people already hurt by the failures of their governments to more hurt by the failures of the markets.
Expresses optimism that sixth review of $6bn financial package will conclude positively.
Says $2.5bn Eurobonds to be launched within months.
“We stand ready to continue to support Pakistan,” says IMF spokesperson.
Budget for FY22 faces massive risks such as inflation and a resurgence of the trade deficit.
"This time the IMF was not friendly with us and the programme was front-loaded and tough," he says.
More than 1,000 projects worth Rs340 billion have been registered along with another 292 tentative projects under the scheme.
The prime minister is under extreme pressure to pump growth further next year, as well as enhance spending.
The design of the IMF programme has led to perverse incentives and unintended consequences.
Finance Minister Shaukat Tarin says the higher power tariff is leading to corruption and affecting economic growth.
“The mooted 27pc increase in power tariff is not a growth driver," says PBC chief executive in letter to Hammad Azhar.
The IMF now requires parliament to approve laws under deadlines unlike the previous programmes.
IMF documents unveil government’s expenditure consolidation measures.
Rising inflation and depleting political capital are the most obvious reasons.
Government to raise electricity tariff by Rs4.97 per unit in remaining three months of current fiscal year.
The only way out is to convince the Fund to soften its conditions for the remaining period of the loan.
How things go with the IMF are critical to how the political scene will evolve.
There is little doubt that these adjustments would bring a semblance of “macroeconomic and debt sustainability” in the near term.
Institutional, technical shortcomings giving rise to inaccurate information being addressed, Fund assured.
Says performance in the first half of the fiscal year 2020-21 was "prudent, providing targeted support and maintaining stability".
The promulgation of the ordinance is one of the prior actions for the approval of the $500 million IMF tranche.
The approval revives the $6 billion IMF programme after it remained latent for over a year.
Staff mission will arrive in a few weeks, according to PM’s aide.
Authorities are grappling with politically challenging issues amid tough economic conditions.
Says a considerable share of the govt's achievements have been undone by the coronavirus pandemic.
Even as efforts are being made to draw up the plans necessary to satisfy the IMF, a massive political storm is brewing.
Govt will have to show progress in tax reforms, electricity and gas prices adjustment mechanism, subsidies etc.
Fund wants Rs5.1tr collected, authorities insist on target being set to Rs4.7tr.
Extended Fund Facility will be revised after Covid-19 is over as macroeconomic indicators deteriorate.
"This government won’t do a deal with our labour force rather it sacrifices rights of labour at the altar of IMF."