Pakistan will require another bailout programme from the International Monetary Fund (IMF) after the ongoing package concludes, former finance and revenue minister Miftah Ismail says. During a talk show, he said Pakistan could avert the risk of default if the international lender conceded to resume its current programme. Ismail said the risk of default won t subside without IMF support, adding the rising dollar demand was due to its purchase to hedge against the fear of default.

Ismail said Pakistan received more aid than expected during the Geneva conference and this would allow Islamabad to negotiate more comfortably with the Fund. Furthermore, Saudi Arabia and China could be approached for new loans, he pointed out.’ The ex-minister further said the financing gap had increased, but it would automatically shrink, adding the gas tariff hadn t gone up since September 2020, therefore, it was time for industries like fertiliser and cement, as well as rich consumers, to pay higher tariffs.

Credit : Independent News Pakistan-INP