Epaper – April 9 KHI 2021

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Friday, 9 April, 2021 I 25 Shaban, 1442 I Rs 15.00 I Vol XI No 281 I 12 Pages I Karachi Edition

IMF asks PakIstan to accelerate Much-needed structural reForMs g

INT’l lENDER ObSERVES GROWTH, INVESTMENT, JOb CREATION DEPENDENT ON RESOlVING lONGSTANDING STRUCTURAl WEAKNESSES ISLAMABAD

W

Ghulam abbas

HIlE appreciating some recent achievements regarding reforms in government institutions, the International Monetary Fund (IMF) has asked Pakistan to accelerate much-needed structural reforms in the country. In its second, third, fourth, and fifth reviews under the Extended Fund Facility to Pakistan, the Fund has said that the higher growth, investment, and job creation will crucially depend on addressing long standing structural weaknesses. An uneven playing field for state owned enterprises (SOEs) and private companies, corruption, and red tape (especially excessive regulations and licensing requirements, obstacles to paying taxes, and difficulties trading across borders and registering property) remain a drag on productivity, investment, and the de-

velopment of a vibrant private sector that can create high-quality jobs for a growing labor force. According to the staff report of IMF prepared for the Executive board’s consideration on March 24, 2021, following discussions that ended on February 15, 2021, with the officials of Pakistan on economic developments and policies under the programme, the international lending agency has appreciated recent achievements of the government which offer a good basis to accelerate much-needed structural reforms. The staff welcomed recent steps, encouraged continued reliance on extensive technical assistance (TA) from development partners to mitigate capacity constraints, and identified followup measures with the authorities in three areas which included enhancing SOEs’ governance, transparency, and efficiency, boosting the business environment, job creation, and green development and fostering gover-

nance and the control of corruption. As per the report, the authorities have submitted a new SOE law to parliament in March 2021 (end-September 2020), aiming to (i) define a rationale for state ownership; (ii) ensure commercially sound SOE operations; and (iii) regulate oversight and ownership arrangements. The preparation of the law benefited the IMF, which now also helps advance the authorities’ ongoing efforts to define a new ownership policy, amend several SOEs’ Acts, and operationalises a central monitoring unit within

the Ministry of Finance (all by the end of summer 2021). In March 2021, the authorities published a classification of all federal SOEs into those remaining under state ownership and those for sale/liquidation (endSeptember 2020). On that basis, the authorities are now gradually planning to reduce the footprint of the state in the economy to foster efficiency and reduce fiscal risks. The divestment of two lNG power plants and two small public banks is already at an advanced stage. besides, as per commitment of pub-

Imran urges D8 states to mobilise resources for tackling Covid effects ISLAMABAD staff report

Prime Minister Imran Khan on Thursday urged the D8 countries to mobilise resources to tackle the economic and health costs of the coronavirus pandemic. While virtually addressing the 10th D8 summit in Dhaka, he said that harnessing technology, promoting innovation and investing in youth education, skills and training was an urgent imperative. This year’s theme of the conference was “Partnership for a Transformative World: Harnessing the Power of Youth and Technology.” He told the summit that Pakistan was pursuing initiatives and programmes such as Kamyab Naujawan, Hunarmand Pakistan, youth entrepreneurship scheme and Digi-

tal Pakistan. The prime minister said that because of the inter-connectedness of the countries and economic, social and environmental vulnerabili-

ties created by this interconnectedness, the coronavirus pandemic had caused death of over 2.9 million people and more than 250 million people had become

ISLAMABAD staff report

As the government portal reported its biggest daily jump in new coronavirus cases in more than 10 months, Minister for Planning and Development Asad Umar Thursday announced to start vaccinating the general public after Eidul Fitr. The coronavirus portal keeping track of the outbreak in Pakistan registered 5,329 new cases during the last 24 hours — the highest number of

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coronavIrus In

PakIstan

unemployed and trillions of dollars were lost as a result of the global economic contraction. The prime minister said that the coronavirus had taken a heavy toll on poor countries and also inequality had been accentuated within the countries and between the rich and poor countries. The developing countries were not only faced with the dilemma of saving their citizens from the deadly virus but they also have to save people from hunger, he observed. He said that today the world boasted the largest number of young people in history. Even before the pandemic struck, one fifth of youth in the world was unemployed and did not have the education and skills to equip themselves for the 21st century, he remarked.

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General public Covid-19 vaccinations to start after Eid: minister daily infections since June 16 when 5,090 cases were reported. The authorities tested 49,816 samples on Wednesday to receive back a positivity rate of 10.7 per cent, National Command and Operation Center’s (NCOC) data showed. With the new cases, the number of confirmed cases climbed to 705,517. In his conversation with reporters, Asad said that the next five to six weeks were “critical” for the third wave of infections. The nationwide death toll from coronavirus-related complications surged past 15,000 on Wednesday as the third wave overwhelms hospitals. The portal registered 98 new fatalities on Thursday, bringing the toll to 15,124. The government launched the vaccination for the general public in March, starting with older people. It is currently offering free doses to frontline healthcare workers and people over the age of 50, but the drive has thus far been slow. The authorities are also grappling with a high degree of vaccination hesitancy among the people, even among health workers. The private sale of shots begun over the weekend. Thousands of people rushed to get inocu-

lishing audits of key SOEs, the recent audits include Pakistan Railways in March 2020, Pakistan International Airlines (PIA) in January 2020, and Pakistan Steel Mills (PSM) in July 2020. The next audit will cover the Utility Stores Corporation (USC) (new end-April 2021). Regarding boosting the business environment, job creation, and green development, IMF was informed that current priorities of the government include simplifying processes to start businesses and approving FDI by reducing regulations and streamlining red tape. In addition, efforts focus on facilitating trading across borders by advancing further the ongoing enhancement in customs efficiency and simplifying paying taxes through a new simple and fully automated payment system. This would also help boost the formal private sector. besides, the Companies law was amended in May 2020 to foster startups while also attracting innovators, including from abroad. However, to expand Pakistan’s information technology, digitisation, and outsourcing sectors going forward, it will also be important to invest more in education and human capital, improve product market access, and increase information and communications technology (ICT) adoption.

lated in the first round of commercial sales of the jabs. The first round saw the commercial sale of the two-shot Russian Sputnik-V for about Rs12,000 for a pack of two doses. On Thursday, Asad said that so far 14,000 people had received vaccination through the private sector, while 1.1 million were inoculated as part of the government campaign. He further said that China was the government’s “primary source” for vaccination, for now, disclosing the CanSino Covid-19 vaccine will also be available in the country after Eid. “We will be able to vaccinate more than 125,000 people a day after Eid.” “During last 24 hours, most deaths occurred in Punjab followed by KP [Khyber Pakhtunkhwa,” the NCOC announced in a press statement. “Out of 98 deaths during last 24 hours, 31 died on ventilators.” In his talk, the minister noted with concern that the number of intensive care unit (ICU) patients in the country was higher than during the first wave. “Strict enforcement of SOPs [standard operating procedures] can bring down the rising rate of infection,” he stressed.

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CONFIRMED CASES:

705,517

LAST UPDATED AT 7:27 AM ON APRIL 7, 2021

DAY'S DEATH TOLL:

NEW CASES:

98

5,329

RECOVERED:

DEATHS:

623,399 15,124 SINDH:

PUNJAB:

267,612

240,584

KP:

BALOCHISTAN:

AJK/GB:

ISLAMABAD:

94,880

13,873/5,070

19,999

63,499

more inside

600 slum dwellers to get share as PM breaks ground for 4,000 low-cost flats STORY ON BACK PAGE

Corps commanders review security situation, Covid-19 third wave STORY ON BACK PAGE


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