Pakistan Needs A Larger IMF Programme To Execute Structural Reforms, Says FM Aurangzeb

Aurangzeb stressed that Pakistan needs ‘timely decisions, timely execution’ to develop its economy and called for a focus on financial inclusion and climate resilience

Pakistan requires two to three years to execute the structural reforms recommended by the International Monetary Fund (IMF), Finance Minister Muhammad Aurangzeb said at an event in the US. The Pakistani minister also cautioned that if the country fails to implement these measures, it would need to find another bailout programme. 

Speaking at the Atlantic Council think tank in Washington, the minister said that Pakistan is currently looking for a larger programme from the IMF as the country needs a time period of two to three years to execute the reform measures. The minister is currently in the United States to participate in the spring meetings of the World Bank Group, reported PTI. 

“We have known the what and why not for years but for decades. It's time for us to actually start moving the execution of these aspects, and why we're looking for a larger and extended programme, so once we get into the execution, we will need a two to three-year time period to go through the structural reforms,” the agency reported citing Geo News.

Aurangzeb stressed that Pakistan needs ‘timely decisions, timely execution’ to develop its economy and called for a focus on financial inclusion and climate resilience. “We are dealing with adaptation and financing and to the extent that these institutions come in to help countries like Pakistan from inclusive growth perspective and climate change perspective. Our interests are going to be very well aligned,” the minister said related to the current debate about the Bretton Woods twins, the IMF and the World Bank. 

In order to avoid human intervention, Aurangzeb added, Pakistan needs to thoroughly digitalise the tax authority to boost transparency. “It's not just about revenue, it's about transparency and client experience, which is going to bring trust and confidence back into the tax authority,” the official said. The minister stressed that Pakistan needs to promote public-private partnerships at the federal and provincial levels.