Islamabad: International Monetary Fund (IMF)’s Resident Representative Teresa Dabán Sanchez has voiced the fund’s support for the government’s recently announced construction sector package — with the initiative broadly aimed at benefiting the country’s daily wagers, according to news sources. In addition, the IMF representative also advised the executive to impose appropriate taxation on the petroleum, beverages, vehicles, and tobacco sectors.
She stated that Pakistan could use taxation as a way forward, and that this sometimes required increasing the country’s tax base and tax rates. Representative Sanchez made these comments while speaking at an online policy dialogue, held under the auspices of the Sustainable Development Policy Institute (SDPI).
During her talk, she said that the monetary performance of Pakistan had been satisfactory and that the IMF would continue to work with the authorities to work out a feasible roadmap for the country; which would then be made a part of the budget next year.
The representative further revealed that the IMF toolkit to battle the impact of the coronavirus pandemic included USD 1.4 billion funds for Pakistan, under its Rapid Finance Instrument (RFI). She also said that the ongoing Existing Fund Facility (EFF) was still functional and that its next review meeting might be a virtual one. Moreover, she lauded the government’s various initiatives in response to the COVID-19 pandemic.