Islamabad, 28 November 2023 (TDI): A specialized team of experts from the International Monetary Fund (IMF) has landed in Pakistan for crucial discussions centered on tax reforms and policy enhancements.
The visit aims to address key fiscal challenges and optimize tax structures for sustainable economic growth.
Scheduled meetings between the IMF delegation and officials from the Federal Board of Revenue (FBR) and the Finance Ministry will consider pivotal areas concerning the expansion of the tax base and income augmentation.
Moreover, this collaborative effort seeks to explore innovative strategies to bolster revenue generation and will assist revenue board in reinforcing it.
Emphasizing the significance of this visit, sources close to the discussions have highlighted the primary focus on evolving tax policies. The IMF team intends to engage with FBR authorities, offering valuable technical assistance aimed at fortifying the implementation of these policies for maximum efficacy.
According to reports, Pakistan is expected to secure approximately US$700 million from the International Monetary Fund (IMF) pending the approval of the staff-level agreement by the executive board.
Additionally, this anticipated disbursement will elevate the total funds received under the program to nearly US$1.9 billion, as per media reports.
Earlier, on November 15, Pakistan successfully reached a staff-level agreement with the IMF concerning the initial review of a $3 billion Standby Agreement (SBA).
In its statement, the IMF expressed its endorsement of the Pakistani authorities’ dedication to advancing planned fiscal consolidation efforts and expediting reforms geared towards reducing costs within the energy sector.
Furthermore, the FBR, in collaboration with the IMF, is actively crafting a Compliance Improvement Plan scheduled for completion by March of the upcoming year.