Front Page 17-02-2021_Layout 1 2/17/2021 1:40 AM Page 1
Wednesday, 17 February, 2021 I 4 Rajab, 1442 I Rs 15.00 I Vol XI No 230 I 12 Pages I Islamabad Edition
IMF resuMes extended Fund FacIlIty For PakIstan; $500M tranche on the cards ISLAMABAD Staff RepoRt
a
N International Monetary Fund (IMF) team, led by Ernesto Ramirez Rigo, concluded virtual discussions with the Pakistani authorities and reached a stafflevel agreement on the second to fifth reviews of the authorities’ reform programme supported by the IMF’s 39month Extended Fund Facility (EFF) arrangement for the amount of SDR 4,268 million (about $6 billion). “This agreement is subject to the approval of the IMF’s Executive Board. The reviews’ completion would release around $500 million,” a statement issued by the IMF on Tuesday read. At the end of the discussions, Ramirez Rigo stated, “The policies and reforms implemented by Pakistani authorities prior to Covid-19 shock had started to reduce economic imbalances and set the conditions for improving economic performance. Most of the targets under the EFF-supported programme were on track
to be met. However, the pandemic disrupted these improvements and required a shift in authorities’ priorities towards saving lives and supporting households and businesses. To a large extent, the authorities’ response was enabled by the fiscal and monetary policy gains attained in the first nine months of FY2020. Aside from health containment measures, this included a temporary fiscal stimulus, a large expansion of the social safety net, monetary policy support and targeted financial initiatives. These were supported by sizeable emergency financing from the international community, including from the Fund’s Rapid Financing Instrument (RFI).” He noted that as a result of the authorities’ actions, the Covid-19 first wave started to abate over the 2020 summer and the impact on the economy was significantly reduced. “External current account improved due to stronger-than-expected remittances, import compression, and a mild export recovery. High-frequency economic data also started to point to a recovery. Considering these improvements, the economy
is projected to expand by 1.5pc in FY2021 from the -0.4pc in FY2020. Still, with the Covid-19 second wave still unfolding around the world, the outlook is subject to a high level of uncertainty and downside risks.” He continued, “The Covid-19 shock has required a careful recalibration of the macroeconomic policy mix, the reforms calendar, and the EFF review schedule. Against this background, the authorities have formulated a package of measures that strikes an appropriate balance between supporting the economy, ensuring debt sustainability, and advancing structural reforms. The fiscal strategy remains anchored by the sustainable primary deficit of FY2021 budget and allows for higher-than-expected Covid-related and social spending to minimize the short-term impact on growth and the most vulnerable. The targets are supported by careful spending management and revenue measures, including reforms of corporate taxation to make it fairer and more transparent. The power sector’s strategy aims at financial viability, through management improvements, cost reductions, and adjustments in tariffs and subsidies calibrated to attenuate social and sectoral impacts. “The State Bank of Pakistan (SBP)’s monetary and exchange rate policies have served Pakistan well and were critical in helping to navigate the Covid-19 shock. The strengthened international reserves’ position since the start of the program—with gross reserves almost doubling to $13 billion until January 2021 and net international reserves (NIR) increasing by over $9 billion until December 2020—and the shock absorption displayed by the market-based exchange rate, allowed the SBP’s to preemptively proceed to a large easing of monetary policy, and a sizeable expansion of refinancing facilities.
ECP duty-bound to ensure transparent polls: CJP g
ISLAMABAD Staff RepoRt
Hearing the presidential reference on the Senate election on Tuesday, the Supreme Court expressed dissatisfaction over the report submitted by the Election Commission of Pakistan (ECP) and observed that it is ECP’s constitutional duty to ensure transparent polls. The chief election commissioner (CEC) and the ECP members appeared before the court in the hearing. A five-member bench of the apex court, headed by Chief Justice of Pakistan (CJP) Gulzar Ahmed, was hearing the presidential reference seeking the court’s advice over the open ballot in the upcoming Senate election. “The Election Commission should not keep silence over the matter and submit its report after reviewing all aspects of the mat-
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coronavIrus In
PakIstan
CONFIRMED CASES:
564,824
CEC opposes use of identifiable ballot papers in electoral process
Govt refuses to renew Nawaz’s passport but ready to facilitate his return g
Rasheed says an ETD can be issued to former premier, if he wants to return ISLAMABAD
LAST UPDATED AT 10:25 AM ON FEBRUARY 16, 2021
DAY'S DEATH TOLL:
47
RECOVERED:
NEW CASES:
958
DEATHS:
527,061 12,380 SINDH:
PUNJAB:
254,016 164,696 KP:
BALOCHISTAN:
AJK/GB:
ISLAMABAD:
69,885
18,946
9,532/4,941 42,808
Staff RepoRt
As the passport of deposed prime minister and PML-N supreme leader Nawaz Sharif expired on Tuesday, the government has refused to renew it but said it will issue a special certificate to enable his return if he so desires. In December, Minister for Interior Sheikh Rasheed Ahmed had announced to cancel Sharif’s passport once it expired at midnight on February 16. After spending a year in prison, Sharif, 71, secured a conditional bail in November 2019 to travel to London on the pretext of medical treatment and has since refused to return. His party insists that despite being summoned by the courts that declared him a proclaimed offender in separate corruption probes, the former premier will only return after the completion of his medical treatment.
ter”, the CJP said. “The election commissioner should tell us how he plans to stop corrupt practices in the Senate elections,” asked the chief justice. Justice Ijaz ul Ahsan observed that the Election Act does not mention corrupt practices specifically. “The word ‘guard’ has been used for political interference before and after elections, as well as corrupt practices,” noted the judge. Justice Ahsan said that guarding against corrupt practices in this context would mean that precautionary measures ought to be taken before the elections so that they are held in a transparent manner. “Money and political interference are used in elections,” noted Justice Ahsan. “The election commission should tell us how it plans on stopping such practices.”
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MORE INSIDE
PTI to emerge victorious in Senate polls: PM STORY ON BACK PAGE
Pakistan Navy’s Aman 2021 exercise concludes with ‘graceful’ international fleet review STORY ON BACK PAGE
Karachi police arrest PTI leader after ECP orders removal from constituency “The names of Nawaz Sharif and Maryam Nawaz are on the Exit Control List (ECL) since August 20, 2018,” Ahmed said during a press briefing in Islamabad. “Those who have their names in the no-fly list are not issued passports, neither are they renewed.” Ahmed observed it was Islamabad High Court (IHC) that ordered Sharif to return to the
country. Separately, he told Arab News that the deposed premier did not wish to return to Pakistan of his own choice, not because of an issue with his passport. “If he [Sharif] wants to return, we can issue an emergency travel document (ETD) to him,” he said.
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STORY ON PAGE 02
US firm discovers Indian spyware targeting Pakistan army STORY ON BACK PAGE