IMF team arrives in Pakistan for talks on next installment of $7 billion loan

A team of the International Monetary Fund (IMF) arrived in Pakistan on Monday to hold two-weeks-long talks on the country's economic performance over the last six months, sources informed Nukta.

If the parleys held between the IMF team and government functionaries are successful, it would lead to the approval of a $1 billion instalment from an overall loan package of $7 billion that was approved last year.

The IMF team will hold meetings till March 15 in two rounds with Pakistani officials.

Nathan Porter is leading the nine-member IMF team which will also discuss taxation and other economic measures to be included in the budget for the next fiscal year.

The government is likely to propose relief in taxation measures for the salaried class.

The IMF team will also hold meetings with officials from the State Bank of Pakistan, the Federal Board of Revenue, the National Electric Power Regulatory Authority, the Oil and Gas Regulatory Authority, and other state-run institutions.

Moreover, it will hold separate meetings with provinces on fiscal and taxation measures.

The IMF and Pakistan recently held talks on climate financing. The expected loan from the IMF's Climate Resilience Fund would likely range between $1-1.5 billion.

Several measures were discussed, including imposing of carbon tax, mandatory approvals of environment study before setting up projects, development projects in the public sector carrying "green budgeting", and planting trees.