Power tariff will more be increased from 1st July, 2024 as the federal government has assured International Monetary Fund (IMF) Mission team that in order to curb rising circular debt.
The federal government will increase power tariff from July 2024 on monthly and quarterly basis.
After various rounds of successful negotiations with Pakistani authorities, the International Monetary Fund (IMF) is likely to sign the staff-level agreement with Pakistan tomorrow (Monday).
Finance Ministry’s official told media that that the staff level accord with IMF was expected on Monday (tomorrow) which will clear the way for Pakistan to receive the last tranche of $1.1 billion under the standby agreement.
Pakistan also guaranteed international lender that State Bank of Pakistan will keep strict monetary policy and market exchange rate.
During various rounds of negotiations with officials of different departments which were held during March 15 and 16, the IMF team was assured by the government regarding hike in power prices on monthly, quarterly basis in fuel adjustments to ccontrol circular debt.
IMF was also assured that government will take steps towards documentation of the economy to increase tax base. IMF also urged the government to ensure the protection of beneficiaries under BISP (Benazir Income Support Programme) besides increasing the number of BISP beneficiaries by June 2024.—NNI
