IMF tepid to interim govt proposals

The International Monetary Fund (IMF) on Monday did not immediately endorse the interim government’s proposals to reduce industrial electricity prices, settle over one-fifth of the circular debt and make the Rs268 billion debt of the Pakistan International Airline (PIA) part of the public debt. The IMF also asked as to why the interim government is showing haste when the Election Commission of Pakistan (ECP) has already barred it from taking any decisive action on the privatisation of PIA, according to government sources. The global lender sought more details about the economic and legal viability of the three major proposals. The IMF held two back-to-back virtual meetings but their outcomes were below the expectations of the Pakistani authorities. The next round of discussions on these proposals would take place after the Pakistani authorities provide additional information and the global lender reviews it internally.