Islamabad: Federal Finance Minister Mohammad Hammad Azhar has warned that failure to increase tax revenues could jeopardize Pakistan’s upcoming IMF program.
In an interview with British newspaper Financial Times, Minister Azhar expressed hopes of reaching a staff-level agreement with the IMF next month. However, he emphasized that without raising tax revenues, Pakistan risks losing its last chance for an IMF bailout.
Azhar estimated the agreement with the IMF could involve commitments totaling between $6 to $8 billion. He underscored that as long as the economy remains revenue-dependent, Pakistan will continue to rely on borrowing to meet its debt obligations.
Pakistan Warns of IMF Program Risk Without Tax Hike, Finance Minister Says
