- Pakistani Prime Minister Imran Khan’s troubles with debt do not seem to be diminishing.
- Pakistan’s economic stability rests on $ 11 billion aid from China
- Imran government to impose new tax equal to 600 billion rupees under IMF condition
Pakistan Prime Minister Imran Khan, who came to power by promising not to take loans from abroad, does not seem to be facing any problems. Pakistan has met about a dozen conditions in six months under the IMF’s loan program, but the economic stability of this cash-strapped country still rests on US $ 11 billion in aid from China.
The Express Tribune newspaper said on Friday that the Washington-based International Monetary Fund (IMF) in its staff-level report for a six-billion dollar loan program on Thursday said that the government of Pakistan has so far reduced electricity prices to Rs 5.65 per unit since October. Or preparing to increase 36 percent.
Imran government will impose new tax equal to 600 billion rupees
According to the debt management plan, this increase will put an additional burden of Rs 884 billion on consumers by June 2023. In addition, the government will levy a new tax equal to 1.1 percent of GDP or 600 billion rupees as per IMF condition in June. These conditions are among the 11 actions that the government has to complete by September this year.
According to the report, despite the IMF’s help, Pakistan will be largely dependent on China’s help. Pakistan has $ 10.8 billion from the UAE, $ 2.8 billion from the World Bank, $ 2.8 billion from the G20, $ 1.1 billion from the Asian Development Bank, with $ 10.8 billion in aid from China to meet its financial needs. And one billion dollars will be needed from the Islamic Development Bank.