The International Monetary Fund (IMF) has been pressing Pakistan to expand tax base and increase revenue generation – which is again one of the main conditions set under the $3bn stand-by arrangement – after the country received $1.2bn in first tranche last week.
In this connection, reports suggest that the IMF has listed the real estate and agricultural sectors for having a huge potential and sought a plan from the government on this subject.
Meeting the IMF conditions is a priority for Pakistan as the remaining amount of $1.8 would only be released only after two reviews, meaning that there are going to more tranches.
However, the decision would be taken by either by the caretaker setup or by the new government elected by after the upcoming general elections as Prime Minister Shehbaz Sharif has already made it clear that they would leave the office before August 14.
Last week, Shehbaz had promised that Pakistan would not violate the agreement – a very important signal given how the PTI-government damaged the country’s standing around the world by not implementing the very deal it had signed with the world’s top lender.
