ISLAMABAD: The International Monetary Fund (IMF) has asked that Pakistan raise its electricity tariffs.
During virtual negotiations between IMF officials and Pakistani authorities for the delivery of a $1 billion loan tranche, the demand was made.
During the negotiations, the IMF proposed that the electricity rate be increased by Rs1.40 per unit, since this would assist Pakistan handle its cyclical debt.
The fund has requested that the Federal Board of Revenue take more efforts to improve income tax, sales tax, and regulatory charges collection.
According to well-informed sources, the IMF has urged Pakistan to boost the FBR’s annual collection to Rs63 trillion from Rs58 trillion.
It must be noted that today is the third day of virtual talks between Pakistan with the International Monetary Fund (IMF) in Islamabad.
Negotiations are underway with the fund for a $1 billion loan installment. Negotiations with IMF officials will continue this week.
It is to be mentioned that a loan agreement worth $6 billion was delayed between the IMF and Pakistan.
Also read: Govt debt increased by 11.5pc to Rs39.7tr
On August 24, Pakistan received $2.75 billion from the International Monetary Fund.
As per the State Bank of Pakistan (SBP), the country has received 2.75 billion US dollars from the IMF as part of the SDR allocation.
With the transfer of $2.75 billion, the country’s foreign exchange reserves have jumped to $27.4 billion.