AT a time when the issue of negotiations with the International Monetary Fund (IMF) for a fresh bailout package have become a political issue, the global lender has said that it looks forward to working with the new government in Pakistan for “macroeconomic stability and prosperity for Pakistanis”. The remarks came from Head of the Communications Department at the IMF Julie Kozack when asked whether Pakistan was on track to secure the third tranche of the stand-by agreement reached in June 2023.
The question whether or not Pakistan should seek another deal with the IMF is purely an economic issue and should be sorted out on the basis of a comprehensive review of the country’s economic and financial health and the role the new package could play in improving the situation. However, it is unfortunate that, as before, some elements are trying to link it with the internal political situation in the country disregarding national economic needs. The letter that founding Chairman of the PTI Imran Khan wrote to the IMF surely falls within this category as an attempt has been made to invite the Fund to interfere in the internal affairs of the country. In the letter, IK cast doubts about Pakistan’s ability to repay loans claiming it will increase poverty in the country. He conveniently forgets that the country effectively managed its affairs despite frantic efforts made in the past to push Pakistan towards a sovereign default. Now the situation is much better and all global institutions as well as bilateral donors are more than willing to cooperate with the new Government. In fact, it is time for PTI to get rid of its confusing policies on important national issues as such an approach neither helped it in the past nor is likely to help in future. As against the extreme step taken by IK, the party’s nominated Chairman Barrister Ali Zafar adopted a realistic approach by telling journalists that the engagement with the IMF should continue to ensure financial discipline, good governance, and economic stability which is critical for the prosperity of the people of Pakistan. Personal or party interests must not force someone to adopt a line that could cause harm to the country.
