IMF Managing Director Kristalina Georgieva has highlighted key issues Pakistan needs to address to boost its economy, including expanding the tax base, increasing contributions from the wealthy, and improving transparency in public spending. Pakistan is completing a nine-month, $3 billion stand-by arrangement with the IMF, and discussions are underway for a follow-up program. Georgieva emphasized that Pakistan must resolve these issues before proceeding. A Pakistani delegation, including Finance Minister Muhammad Aurangzeb, will attend the IMF-World Bank Spring meetings in Washington. Last month, Pakistan and the IMF reached a staff-level agreement on the second review of the stand-by arrangement, which, if approved, will release about $1.1 billion to Islamabad. Pakistan’s external financing requirements for the next fiscal year are estimated at over $25 billion. The finance minister will meet with IMF and World Bank officials during his visit to Washington, along with other engagements.
