Former Pak minister warns inflation will rise by 40 per cent if govt accepts IMF’s conditions

Islamabad [Pakistan], January 9 (ANI): Inflation in Pakistan will further increase by 40 per cent if the PDM’s coalition government accepts the conditions presented by the International Monetary Fund (IMF) to finalise the ninth review of Pakistan’s USD 7 billion Extended Fund Facility, former Pakistan Energy Minister and Pakistan Tehreek-e-Insaf (PTI) leader Hammad Azhar has said, Geo News reported.

Speaking at a ceremony, PTI leader Hammad Azhar said that a severe crisis of food items lies ahead for the people of Pakistan. Criticising the PML-N-led coalition government, Azhar said that the economy has been brought on the verge of collapse during the past nine months. He said that Pakistan Prime Minister Shehbaz Sharif should take the nation into confidence on the issues.

Hammad Azhar said that Pakistan has to take a decision on a new programme with the IMF as the ongoing deal with IMF will expire in June this year. He called it necessary to have a newly elected government in Pakistan that could sign an agreement with IMF, according to Geo News.

“Pakistan will have to decide on a new programme with the IMF as the ongoing deal with the international lending body will expire in June this year. Hence, it is necessary that there should be a newly-elected government in Islamabad that strikes a new deal with the lending body,” Geo News quoted Hammad Azhar as saying.

Former Pakistan energy minister Hammad Azhar stated that they need to hold early elections and stressed that the government with a mandate of five years can take a decision. Expressing concern over the situation in Pakistan, Azhar said that the country is heading towards disaster and a “non-serious government” cannot bring the country out of the crisis, according to Geo News.

“The country is heading towards disaster. An unpopular and non-serious government cannot steer the country out of the ongoing crisis,” Geo News quoted Hammad Azhar as saying.

Earlier on January 7, Pakistan Prime Minister Shehbaz Sharif said that he held talks with the International Monetary Fund Managing Director Kristalina Georgieva. In a tweet, Sharif said that he informed Georgieva about the Pakistani government’s resolve to complete the IMF program. He also told Georgieva about the economic difficulties faced by Pakistan.

Shehbaz Sharif tweeted, “In a phone call with the Managing Director of the IMF yesterday, I told her about the government’s resolve to complete the terms of IMF’s program. I also explained Pakistan’s economic difficulties, especially after the devastating floods. IMF delegation will come to Pakistan soon.”

On January 6, Shehbaz Sharif announced that a delegation from the IMF is due to visit Pakistan in 2-3 days to “take up and finalise” the ninth review of the economy. During an address at the inauguration ceremony of Hazara Electric Supply Company, Pakistan’s PM said that he urged Kristalina Georgieva to soften the terms of the deal.

“I spoke to IMF Managing Director Kristalina Georgieva [Thursday] and emphasised that Pakistan wishes to complete the IMF bailout programme,” Geo News quoted Shehbaz Sharif as saying.
“I urged her to soften the terms of the deal because the masses cannot be burdened anymore. We have slapped taxes on the rich segments of society,” he added.