Pakistan’s new finance minister leaves for Washington for IMF talks

Pakistan's finance ministry chief Miftah Ismail speaks with Reuters during an interview in Islamabad, Pakistan December 28, 2017. (REUTERS/File)
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Updated 21 April 2022
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Pakistan’s new finance minister leaves for Washington for IMF talks

  • The country’s new government faces the task of managing a stuttering economy with huge deficits
  • Pakistan wants revival of $6 billion loan program that stalled after announcement of fuel subsidies

ISLAMABAD: Pakistan’s new finance minister Miftah Ismail left for Washington on Thursday to meet senior International Monetary Fund (IMF) officials and ensure the revival of a stalled $6 billion loan program.
Ismail traveled to the United States after receiving a go-ahead from Prime Minister Shehbaz Sharif to engage with the IMF for the resumption of the seventh review under the loan facility agreed in July 2019.
Sharif, who was elected to the top political office of his country on April 11, faces the daunting task of managing a stuttering economy with huge deficits.
“I am off to Washington DC to try and put back on track our IMF program that PTI [Pakistan Threek-e-Insaf] and IK [Imran Khan] derailed, this endangering our economy,” Ismail said in twitter post on Thursday.

Earlier on Wednesday, Ismail said in press briefing in Islamabad after the first cabinet meeting that “God willing, we will revive the [loan] program,” adding that “the prime minister has ordered me to put less burden on people and find a way to revive the IMF program.”
The new finance minister expressed optimism that Pakistan would be able to reach a staff-level agreement with the international lending agency.
He said the government would “do belt tightening and cut PSDP [Public Sector Development Funds].”
The IMF approved a disbursement of $1 billion to Pakistan in February after completing the sixth review of the economic reforms under the loan program.
Negotiations with the IMF are currently stalled for the third time in three years after the seventh review talks collapsed when the country’s previous administration announced fuel subsidies and a tax amnesty scheme.
Out of the $6 billion loan, $3 billion are yet to be disbursed, though only five months remain before the expiry of the program.


Sindh assembly passes resolution rejecting move to separate Karachi

Updated 21 February 2026
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Sindh assembly passes resolution rejecting move to separate Karachi

  • Chief Minister Shah cites constitutional safeguards against altering provincial boundaries
  • Calls to separate Karachi intensified amid governance concerns after a mall fire last month

ISLAMABAD: The provincial assembly of Pakistan’s southern Sindh province on Saturday passed a resolution rejecting any move to separate Karachi, declaring its territorial integrity “non-negotiable” amid political calls to carve the city out as a separate administrative unit.

The resolution comes after fresh demands by the Muttahida Qaumi Movement (MQM) and other voices to grant Karachi provincial or federal status following governance challenges highlighted by the deadly Gul Plaza fire earlier this year that killed 80 people.

Karachi, Pakistan’s largest and most densely populated city, is the country’s main commercial hub and contributes a significant share to the national economy.

Chief Minister Syed Murad Ali Shah tabled the resolution in the assembly, condemning what he described as “divisive statements” about breaking up Sindh or detaching Karachi.

“The province that played a foundational role in the creation of Pakistan cannot allow the fragmentation of its own historic homeland,” Shah told lawmakers, adding that any attempt to divide Sindh or separate Karachi was contrary to the constitution and democratic norms.

Citing Article 239 of Pakistan’s 1973 Constitution, which requires the consent of not less than two-thirds of a provincial assembly to alter provincial boundaries, Shah said any such move could not proceed without the assembly’s approval.

“If any such move is attempted, it is this Assembly — by a two-thirds majority — that will decide,” he said.

The resolution reaffirmed that Karachi would “forever remain” an integral part of Sindh and directed the provincial government to forward the motion to the president, prime minister and parliamentary leadership for record.

Shah said the resolution was not aimed at anyone but referred to the shifting stance of MQM in the debate while warning that opposing the resolution would amount to supporting the division of Sindh.

The party has been a major political force in Karachi with a significant vote bank in the city and has frequently criticized Shah’s provincial administration over its governance of Pakistan’s largest metropolis.

Taha Ahmed Khan, a senior MQM leader, acknowledged that his party had “presented its demand openly on television channels with clear and logical arguments” to separate Karachi from Sindh.

“It is a purely constitutional debate,” he told Arab News by phone. “We are aware that the Pakistan Peoples Party, which rules the province, holds a two-thirds majority and that a new province cannot be created at this stage. But that does not mean new provinces can never be formed.”

Calls to alter Karachi’s status have periodically surfaced amid longstanding complaints over governance, infrastructure and administrative control in the megacity, though no formal proposal to redraw provincial boundaries has been introduced at the federal level.