Country needs ‘another’ IMF programme: PM

ISLAMABAD: Prime Minister Shehbaz Sharif on Wednesday said that Pakistan needs another International Monetary Fund (IMF) programme to revive the economy and put the country on the path to development.

While speaking at the cabinet meeting, the prime minister said that “either we perform or perish; it’s a do or die”. He said rising electricity and gas theft, low tax-to-GDP ratio and rapid increase in expenditure need to be dealt with seriously.

“As the government has to start negotiations with the IMF for the next programme, the Fund’s condition and requirement is to increase the tax base”, he said, adding that some businesses with huge earnings are not paying taxes and the government has to negotiate with them to bring them into the tax net to fulfil the IMF’s requirement.

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The premier also said that the government would do away with the “elite capture” and all the legal instruments including parliament would be used for this objective.

He deplored that Rs2,400 billion revenue cases are either lingering in tribunals or stuck in courts and requested the chief justice of Pakistan (CJP) to instruct all the high courts for early decision of subjudice revenue cases on merit as this would be his (CJ) great contribution to the country.

The premier added that he also instructed the law minister to pursue pending revenue-related cases in tribunals for their speedy decision.

The premier also disclosed that for the complete (100 per cent) digitisation of the Federal Board of Revenue (FBR), adding consultants would be hired by the end of next month and bids are to be submitted by them on April 8, 2024.

He added that two weeks it would take to finalise the bids for the appointment of the consultants and the digitisation timeline and plan prepared by the consultant would be shared with the federal cabinet

Besides this, he said that a mafia has been robbing the exchequer of billions of rupees and parking the money in safe havens abroad and those involved in such practice would not be spared and made an example. However, he said that honest officials would be rewarded with public recognition in a few days and the FBR chairman has been directed to prepare a list of the honest officials.

The prime minister said that a committee formed by him to reduce the government expenditure would soon submit its report that would be implemented immediately. He further stated that there are various departments functioning at the federal level that should have been transferred to the provinces after the 18th constitutional amendment.

The prime minister said that there is annual electricity theft of Rs400-500 billion and the same is the case with the gas sector. He directed power and petroleum ministers to take action against electricity and gas theft as this is intolerable.

The prime minister emphasised that the federation and provinces have to work together to steer the country out of the challenges.

He said that he told the ambassadors of friendly countries that Pakistan wants investment in agriculture, IT, mines and minerals, and the industrial sector, as well as, the exports and industrial zones. He said that for these sectors Pakistan would soon present a bankable position as work on these sectors has already been started from the forum of the Special Investment Facilitation Council (SIFC).

He said that he also informed the friendly countries that the rollovers and further loans are disastrous for Pakistan and this is a conscious decision of the government to take minimal loans. Pakistan will gradually get rid of taking loans and for this, the only way is to attract investment by creating a congenial political and economic environment and create unity in the country.

PM Shehbaz said that he would reiterate his offer for having a charter of economy and added a “charter of unity” should also be presented for economic development.

The prime minister said after immense sacrifices terrorism was wiped out but now it has resurfaced which is no less than a tragedy.

The prime minister also mentioned about his visit to the families of Lt Col Kashif Shaheed and Captain Ahmed Badar Shaheed. He said that he assured the families of the martyrs that the government would not spare the terrorists and would not tolerate cross-border terrorism any more. Pakistan’s borders are the red line against terrorism.

The prime minister said that Pakistan wants to live in an atmosphere of peace with all the neighbouring countries and wants to increase all kinds of relations, but if any neighbouring country’s soil is used for terrorism, then it would not be tolerated.

He said that he would request the neighbouring countries to sit together and work to deal with the menace of terrorism.

Copyright Business Recorder, 2024