KARACHI: Pakistan’s finance ministry on Saturday denied media reports regarding the “failure” of talks with the International Monetary Fund, saying the negotiations to revive the $6 billion loan program were still underway.
The country’s top economic officials have been in conversation with the international financial institution since the beginning of the month to form the basis for the completion of the sixth review of the bailout package.
A successful completion of the review will enable the country to receive about $1 billion from the fund.
While the outcome of the dialogue is yet to be announced by the two parties, certain local media outlets have already proclaimed its failure.
“Media reports about the failure of talks amid ongoing negotiations are not true,” Muzammil Aslam, the spokesperson to the country’s finance chief, told Arab News. “As soon as the dialogue concludes, a statement will be issued for public information.”
The IMF country head in Pakistan, Teresa Dabán Sanchez, also said on Friday negotiations with Pakistan were still continuing to arrive at an understanding.
“We are looking forward to our continued discussions with the Pakistani authorities on the set of policies and reforms that could form the basis for the completion of the 6th review under the EFF [Extended Fund Facility],” she told Arab News.
The uncertainty surrounding the talks with the IMF has exerted pressure on Pakistan’s national currency which hit a historic low on Friday and closed at Rs174 against the US dollar.
The country’s stock exchange also suffered losses for the same reason, making analysts point out that failure of the IMF talks would negatively impact the country’s foreign currency inflows.
“A successful conclusion of these negotiations will ease pressure on the stocks and the rupee and will change the market sentiment,” Tahir Abbas, director research at Arif Habib Limited, told Arab News.
The IMF wants Pakistan to ensure domestic revenue mobilization, reduction in power sector arrears, electricity subsidy reforms and more operational autonomy to the central bank.
The government already raised power tariffs last week, making analysts claim it was trying to fulfil the conditions imposed by the international financial institution.
People familiar with the development said the IMF was insisting on increasing the revenue collection threshold set in the federal budget.
Pakistan said it wanted to collect Rs5.83 trillion ($39.2 billion) in revenue during the current fiscal year.
Economists believe additional revenue collection will be a tough challenge for the political administration in the current situation since prices of essential items are already toward a higher side.
Pakistan denies ‘failure’ of IMF talks, says negotiations still underway
https://arab.news/824qh
Pakistan denies ‘failure’ of IMF talks, says negotiations still underway
- The country’s finance ministry says a statement announcing the outcome of talks will be issued as soon as the dialogue is over
- Analysts say the IMF demand for Pakistan to collect additional revenue may be difficult to fulfil since the prices of essential items are already high
Pakistan denies reports army ordered ‘depopulation’ in Tirah Valley ahead of anti-militant operation
Pakistan denies reports army ordered ‘depopulation’ in Tirah Valley ahead of anti-militant operation
- Tirah Valley residents started fleeing homes this month ahead of a planned military operation against militants
- Reports aimed at creating alarm among public, disinformation against security institutions, says information ministry
ISLAMABAD: Pakistan’s information ministry on Sunday denied reports the army has ordered depopulation in the northwestern Tirah Valley ahead of a planned anti-militant offensive, stating that any movement of residents from the area is voluntary.
The denial from the government comes as residents of Tirah Valley in Pakistan’s northwestern Khyber Pakhtunkhwa (KP) province bordering Afghanistan flee their homes ahead of a planned military operation by the army against militants, particularly the Tehreek-e-Taliban Pakistan (TTP) group.
Despite major military operations in the mid-2010s, Tirah Valley has remained a stronghold for insurgents, prompting authorities to plan what they describe as a targeted clearance.
“The government has taken notice of misleading claims in circulation regarding alleged ‘depopulation’ from Tirah Valley on the orders of the Army,” the Ministry of Information and Broadcasting (MoIB) said in a statement on Sunday.
“These assertions are baseless, malicious, and driven by ulterior motives aimed at creating alarm among the public, disinformation against security institutions and furthering vested political interest.”
The ministry said Pakistan’s federal government and the armed forces had not issued directives for any such depopulation of the territory. It clarified that law enforcement agencies are “routinely conducting targeted, intelligence-based operations strictly against terrorist elements” with care to avoid disruption to peaceful civilian life.
It said locals are increasingly concerned over presence of the “khawarij,” a term the military and government frequently use for the TTP, in Tirah Valley and desire peace and stability in the area.
The information ministry mentioned that the Khyber Pakhtunkhwa Relief, Rehabilitation and Resettlement Department issued a notification on Dec. 26 last year for the release of funds, reportedly Rs4 billion [$14.24 million], for the “anticipated temporary and voluntary movement of population from certain localities of Tirah.”
It also said that the notification mentioned that the deputy commissioner of Khyber District, where Tirah Valley is located, said the voluntary movement of people reflects the views of the local population articulated through a jirga at the district level.
“Hence any stated position of the Provincial Government or their officials being conveyed to media that the said migration has anything to do with the Armed Forces is false and fabricated,” the information ministry said.
“Given with malafide intent to gain political capital and unfortunately malign security institutions and therefore highly regrettable.”
The evacuation has exposed tensions between the provincial government, run by former prime minister Imran Khan’s Pakistan Tehreek-e-Insaf (PTI) party, and the military establishment over the use of force in the region.
“We have neither allowed the operation nor will we ever allow the operation,” KP Law Minister Aftab Alam Afridi said earlier this month, arguing that past military campaigns had failed to deliver lasting stability.
Pakistan military spokesperson Lt. Gen. Ahmed Shareef Chaudhry has previously defended security operations as necessary as militant attacks surge in the country.
In a recent briefing, Chaudhry said security forces carried out 75,175 intelligence-based operations nationwide last year, including more than 14,000 in Khyber Pakhtunkhwa, attributing the surge in violence to what he described as a “politically conducive environment” for militants.
