PAKISTAN, IMF AGREE ON ‘SOME MATTERS’, AISHA PASHA CLAIMS

Islamabad Shahzad Paracha

MINISTER of State for Finance Dr Aisha

Ghaus Pasha has stated that the Pakistani authorities have reached an understanding with the International Monetary Fund (IMF) on some matters.

While talking to the media outside the Finance ministry, the Minister of State for Finance said that discussions with the IMF are moving in the positive direction.

Government is asking for major relief for common people as our focus is to put on hold the expected increase in electricity tariff for the time being.

She said that the electricity tariff would be decided later on as we cannot increase adding that we would be able to protect the common man but those who can afford will have to pay more now.

The Minister claimed that “we have reached some

Suzuki announces fourth plant shutdown of 2023

CONTINUED FROM BACK PAGE

Suzuki had previously halted production in August, September, and October of 2022. It observed NPDs from August 18 to August 19 , from August 22 to August 26, from August 29 to August 31, from September 6 to September 9, from September 19 to September 23, from October 19 to October 21, and October 24 to October 26. However, Suzuki only saw a Month-on-Month (MoM) decline in August where its sales contracted by 41%. Its MoM figures saw increases of 52% and 33% in September and August respectively based on PAMA’s figures. PAMA’s figures do depict Year-on-Year (YoY) sales decreases in the aforementioned three months of 2022 where Suzuki saw declines of 67%, 46%, and 22% respectively. These decreases, however, are visible even in those months where Suzuki did not observe NPDs. The YoY declines are a characteristic of the entire automotive industry this fiscal year, with those companies not observing NPDs also falling prey to it. February’s round of NPDs will be interesting as they come nearly a month after Suzuki announced an increase in prices across its entire portfolio, with its most affordable car now at the Rs 2 million mark.

Financial inclusion in Pakistan increases to 30%

CONTINUED FORM BACK PAGE understanding and clearance from the prime minister level has also been given on some things”. She said that the IMF wants more clearance on some issues and Pakistani authorities would satisfy them to reach an agreement.

By region, Islamabad Capital Territory (ICT) recorded the highest level of financial inclusion at 45%, followed by Gilgit Baltistan at 35% and Azad Jammu & Kashmir at 34%. Looking at the division by gender, male registration accounted for the bulk of financial account registrations in 2022 with 47% having at least one registered financial account. Comparatively, only 13% of women are recorded to have at least one registered financial account. Although women’s percentage accounts for less than half of their male counterparts, the financial account registration for women has reached double digits for the first time. Overall, the largest increase was seen in mobile money wallet users, as active usage increased from 8% in 2020 to 16% in 2022. Active usage also saw an increase in bank account holders, indicating an increase from 12% in 2020 to 14% in 2022. Addressing the webinar held by Karandaaz Pakistan on February 7, 2023, Noor Ahmed, Director of the Agri Finance and Financial Inclusion Department of the State Bank of Pakistan (SBP) said, “Over the years, there has been significant progress on financial inclusion. Key initiatives such as RAAST have been transformative in furthering the inclusion of the marginalised.” Karandaaz Pakistan is a not-for-profit specialpurpose vehicle set up under Section 42 in August 2014. The company is the implementation partner of the Enterprise and Asset Growth Programme (EAGR) and Sustainable Energy and Economic Development (SEED) programme of the UK’s Foreign, Commonwealth & Development Office (FCDO).

On the first day of policy level talks, Governor SBP said to have briefed the IMF on external financing before hosting a dinner for the IMF mission.

Sources added that the high-ups from both sides informally held discussions on policy-level topics including the budget deficit, external financing and other key issues.

Sources said that during the technical level talks, the IMF said to have expressed disappointment over the performance of the power sector and wanted withdrawal of Rs 100 billion subsidy provided to the export oriented sector and sought imposition of one percent in general sales tax across the board.

The Fund was not satisfied with the circular debt management plan provided by the government to reduce

Muree Police granted daylong transit-remand: Sh Rashid files another plea for post-arrest bail

the power sector circular debt of Rs 952 billion. The government said to have placed on the table a one off flood levy to mobilize around Rs 180 billion and did not dismiss the possibility of substantial slash in the public sector development program (PSDP) to limit the fiscal deficit.