Pakistani PM meets IMF chief, briefs on reform measures after $3 billion bailout

Pakistan's Caretaker Prime Minister, Anwaar-ul-Haq Kakar (right), shakes hands with the Managing Director of the International Monetary Fund, Kristalina Georgieva, in New York, USA, on September 21, 2023. (Photo courtesy: Prime Minister's office)
Short Url
Updated 21 September 2023
Follow

Pakistani PM meets IMF chief, briefs on reform measures after $3 billion bailout

  • Pakistan and the IMF struck staff-level agreement for $3 billion in bailout funds under a stand-by arrangement in June
  • The agreement helped Pakistan avoid default but came with tough conditions and fiscal reforms which have fueled inflation

ISLAMABAD: Caretaker Prime Minister Anwaar-ul-Haq Kakar met International Monetary Fund (IMF) managing director, Kristalina Georgieva, in New York on Thursday and briefed her on measures taken to stabilize and revive the economy.
Pakistan and the IMF struck a staff-level agreement for the provision of $3 billion in bailout funds under a stand-by arrangement (SBA) in June. The agreement helped Pakistan avoid default but came with tough conditions and fiscal reforms, including a petroleum levy of up to 50 rupees a liter, alongside a string of painful measures such as raising extra revenues, increasing energy prices and a market-based exchange rate, which has already fueled inflation. CPI rose to a record 38.0 percent in May. Interest rates have also risen, and the rupee hit all-time lows.
Last month the currency fell 6.2 percent. To make matters worse, Pakistan last Friday also announced a record rise in petrol and diesel prices, the second big increase in two weeks, while the inflation rate stayed above target at 27.4 percent in August.
“The Prime Minister expressed gratitude for the IMF’s approval of a $ 3 billion Stand-By Agreement (SBA) to support Pakistan’s economy,” Kakar’s office said in a statement about his meeting with Georgieva on the sidelines of the 78th session of the UNGA.
“He briefed the MD IMF on various measures taken by the Government of Pakistan to stabilize and revive the country’s economy. The Prime Minister affirmed that these initiatives aim to create a stable and conducive environment for sustainable economic growth and investment. Additionally, a strong focus had been placed on protecting the vulnerable segments of society.”

Georgieva appreciated Pakistan’s efforts at implementing policies and reforms to revive its economy and assured Kakar that the IMF remained committed to continued engagement with Pakistan.

Despite the larger than expected IMF bailout, the agreement stressed that Pakistan will have to continue to mobilize multilateral and bilateral financial support.
Pakistan needs $22 billion to fund its external payment obligations, including international debt servicing, in the financial year 2024, that starts on Saturday, July 1, and ends on June 30, 2024.


Islamabad steps up vehicle checks to boost security as 166,000 cars get electronic tags

Updated 4 sec ago
Follow

Islamabad steps up vehicle checks to boost security as 166,000 cars get electronic tags

  • Authorities say over 3,000 vehicles registered in past 24 hours as enforcement intensifies
  • Extended service hours introduced to push full compliance with digital monitoring system

ISLAMABAD: Authorities in the Pakistani capital have intensified enforcement against vehicles without mandatory electronic tags with more than 166,000 cars now registered, according to data released on Sunday evening, as Islamabad moves to strengthen security and digital monitoring at key entry and exit points.

The Islamabad Capital Territory (ICT) administration introduced the electronic tagging system late last year as part of a broader effort to regulate traffic, improve record-keeping and enhance surveillance in a city that hosts the country’s main government institutions, foreign missions and diplomatic enclaves.

Under the system, vehicles are fitted with electronic tags that can be read automatically by scanners installed at checkpoints across the capital, allowing authorities to identify unregistered vehicles without manual inspections. Vehicles already equipped with a motorway tag, or m-tag, are exempt from the requirement.

“A total of 166,888 vehicles have successfully been issued M-Tags so far, including 3,130 vehicles in the last 24 hours,” the ICT administration said, according to the Excise Department.

Officials said readers installed at checkpoints across Islamabad are fully operational and are being used to stop vehicles still without tags, as enforcement teams carry out checks across the city.

To facilitate compliance, authorities have expanded installation facilities and extended operating hours. The Excise Department said m-tag installation is currently available at 17 booth locations, while select centers have begun operating beyond normal working hours.

According to Director General Excise Irfan Memon, m-tag centers at 26 Number Chungi and 18 Meel are providing services round the clock, while counters at Kachnar Park and F-9 Park remain open until midnight to accommodate motorists unable to visit during daytime hours.

Officials said the combination of enforcement and facilitation was aimed at achieving full compliance with minimal disruption, adding that operations would continue until all vehicles operating in the capital are brought into the system.

The enforcement drive builds on a wider push by the federal government to integrate traffic management, emergency response and security monitoring through technology-driven “safe city” initiatives. Last month, Interior Minister Mohsin Naqvi reviewed Islamabad’s surveillance infrastructure and said reforms in monitoring systems and the effective use of technology were the “need of the hour.”

Authorities have urged motorists to obtain electronic tags promptly to avoid delays and penalties at checkpoints as enforcement continues across the capital.