KARACHI, Sep 27 (APP): President United business Group (UBG) and former president FPCCI Zubair Tufail, on Friday, described the approval of a $7 billion package by the International Monetary Fund (IMF) as a positive development that demonstrates confidence of international financial institutions in Pakistan.
Zubair Tufail, in a statement issued here, highlighted the significance of the IMF package for Pakistan’s economy and expressed business community’s hope that this would be the last program from the IMF for Pakistan, allowing the country to stand firmly on its own feet.
International financial institutions have expressed confidence in Pakistan, the loan has been approved and the first tranche expected to be received soon, he said and emphasized the government to focus on improving financial discipline.
The UBG president highlighted the need to revise agreements with Independent Power Producers (IPPs) to control circular debt in the energy sector, while also improving the tax system and focusing on the digitalization of the Federal Board of Revenue (FBR).
Member of the UBG Core Committee, Malik Khuda Bakhsh, remarked that the government’s efforts to reduce inflation were showing positive effects as interest rates were decreasing, the currency was stabilizing, foreign exchange reserves were increasing, and rating agencies had improved Pakistan’s rating.
He noted that there is a strong possibility that after the approval of the $7 billion loan package by the IMF, interest rates will further be reduced, leading to a significant decrease in inflation.