Pakistan and IMF

According to the government, efforts are being made to address the ongoing crisis in our national economy, but the second wave of Corona has severely affected the pace of recovery. That is why the Prime Minister used to reassure the people that commodity prices would start falling soon. In a recent statement, he was forced to say that inflation is very high, wages are low and the economic situation It does not allow wage increases so people should be patient until the economy improves. In these circumstances, the news of a softening of the situation by the lenders, however, is a source of some consolation. Yes, a similar decision was made yesterday. The government of Pakistan had requested the financial institution to extend the deadline for implementation of the required measures related to sales and income tax and the IMF has approved the request which has resulted in giving Pakistan six more months. According to sources in the Federal Board of Revenue, the agreement seeks to defer tax measures under the Sales Tax Act and Changes to the personal income tax slab were discussed. However, negotiations on corporate income tax will resume in the first week of January and the main topic will be the return of exemptions.No agreement has yet been reached on the revenue collection target for the next half year and additional measures for additional revenue. In the last budget, the government had announced a 25 per cent increase in FBR revenue collection to meet the target of Rs 477 trillion, but in the first five months, revenue collection has increased by only 4 per cent. How unsatisfactory this performance is does not need to be explained, so the government's economic team will have to take all possible measures to rectify the shortcomings and shortcomings. According to the report, the IMF had asked the FBR to implement measures related to sales tax and income tax during the negotiations on the 6 billion dollars expansion fund facility for tax reform, in which the sales tax exemption was given. The return is particularly noteworthy. It has been reported that the IMF wants a rebate on food and beverages, especially sales tax, and this has been discussed in July next year. It will be as if the people will have to face a new and sharp wave of inflation in the new financial year. Demands for a change in personal income tax rates and a reduction in the salaries of government employees from the slab base to eight are also on the IMF's list. It would be an admirable feat to be able to draw a sigh of relief. Government economic strategists should not be content with simply blaming Corona for the unsatisfactory performance, but should provide broader consultations to formulate a revolutionary economic program. For this, it is necessary to end the two-and-a-half years of anarchy at the national level and provide an atmosphere of reconciliation and unity, the only way for all state institutions to be run in accordance with the Constitution and the accountability process to be completely transparent, fair, impartial And to be cleansed from every trace of revenge.