Aurangzeb meets IMF on fuel subsidies
Finance Minister Muhammad Aurangzeb discusses targeted fuel subsidies with IMF official during Bangkok meeting.
In brief
Finance Minister Muhammad Aurangzeb discusses targeted fuel subsidies with IMF official during Bangkok meeting. Pakistan's finance minister outlined targeted fuel subsidies to protect vulnerable groups during IMF talks. Originally reported by Dawn.
Finance Minister meets IMF official
Finance Minister Muhammad Aurangzeb met International Monetary Fund Deputy Managing Director Nigel Clarke in Bangkok on Wednesday.
Targeted fuel subsidies discussed
Aurangzeb outlined targeted fuel subsidies to protect vulnerable groups and preserve social cohesion during the meeting.
Fuel subsidy scheme expanded
The government has already rolled out a fuel subsidy scheme for motorcycles, autos and vehicles up to 800cc amid rising global oil prices.
Prime Minister directs expansion
Prime Minister Shehbaz Sharif directed motorcycles, rickshaws and Qingqi rickshaws up to 20 years old to be included in the scheme.
IMF staff-level agreement reached
Pakistan and IMF reached staff-level agreement for $1.2bn from the Extended Fund Facility and Resilience and Sustainability Facility.
IMF calls for targeted subsidies
The IMF called on countries to offer narrow, targeted subsidies following energy disruptions from the US-Israeli war on Iran.
Finance minister highlights economic progress
Aurangzeb emphasized strong political ownership and sustained implementation of reforms during the meeting.
Economic indicators noted
He highlighted stronger reserves, three consecutive years of primary surpluses and a declining debt-to-gdp ratio.
IMF focus on reserves and revenue
Clarke emphasized adequate reserve buffers and stronger revenues to support investment in human capital, infrastructure and public services.
Additional economic discussions
The meeting covered sustainable growth, policy consistency and safeguarding health and education spending alongside fiscal discipline.
Separate US meeting held
Aurangzeb also met with US State Department Ambassador Hugo Yon to discuss bilateral economic cooperation.
US economic cooperation discussed
He reviewed progress toward a trade framework agreement and energy diversification through increased US imports.
Fuel supply measures outlined
The finance minister outlined measures to maintain fuel supplies and support vulnerable consumers.
Additional bilateral topics
Discussions covered anti-money laundering, financing of terrorism, financial action task force follow-up and investment financing through us development finance corporation.
What matters most
Pakistan's finance minister outlined targeted fuel subsidies to protect vulnerable groups during IMF talks.
