Latest news with #Pakistgovernment
Economic Times
6 days ago
- Business
- Economic Times
Pakistan falls short of 3 key IMF targets, missing revenue benchmarks for $7 billion bailout package's 2nd review
Pakistan falls short of 3 key IMF targets, missing revenue benchmarks for $7 billion bailout package's 2nd review Synopsis Pakistan has missed three key IMF fiscal targets due to provincial overspending and federal tax collection shortfalls, jeopardizing the USD 7 billion bailout package's second review. Despite this, the nation achieved a primary budget surplus exceeding IMF expectations, marking a 24-year high. Pakistan has missed out on three of its five major fiscal conditions set by the International Monetary Fund (IMF) for the second review of its USD 7 billion bailout package, The Express Tribune reported. ADVERTISEMENT According to The Express Tribune, the shortfall is attributed to provinces failing to generate the expected cash surpluses and the federal government falling short of tax collection targets. However, the Pakistgovernment expects that it would face minimal obstacles during its next month's review talks for the release of the next USD 1 billion tranche. A fiscal operations summary from the Pakistani Ministry of Finance revealed that the provinces were unable to save the targeted PKR 1.2 trillion in the last fiscal year, ending in June, due to a sharp rise in provincial expenditures, The Express Tribune reported. Similarly, Pakistan's Federal Board of Revenue (FBR) missed two key targets: collecting total revenues of PKR 12.3 trillion and PKR 50 billion from retailers under the Tajir Dost Scheme. The only silver lining in all the fallout is its primary budget surplus target of PKR 2.4 trillion, which was achieved alongside total revenues collected by the four provinces, The Express Tribune reported. ADVERTISEMENT This marks the second consecutive year of a primary surplus and the highest in 24 years, which has surpassed the IMF expectations, The Express Tribune Pakistani federal government has put the whole blame for the setbacks on provincial overspending while stating that it had maintained fiscal discipline. ADVERTISEMENT The overall fiscal deficit declined to 5.4 per cent of GDP (PKR 6.2 trillion), below the original target of 5.9 per cent, which is still not that significant, considering the economic crisis that the country is facing the government has maintained relative fiscal stability, official data shows that net revenues were still PKR 1.2 trillion short of covering interest payments and defence expenditures, with additional spending financed through borrowing, The Express Tribune reported. ADVERTISEMENT The federal government reported a primary surplus of PKR 2.7 trillion (2.4 per cent of GDP), exceeding the IMF collectively generated a cash surplus of PKR 921 billion, missing the IMF target by PKR 280 billion. Punjab recorded a surplus of PKR 348 billion, Sindh PKR 283 billion, Khyber-Pakhtunkhwa PKR 176 billion, and Balochistan PKR 113 billion, though each province reported statistical discrepancies due to additional or off-budget expenditures, The Express Tribune reported. ADVERTISEMENT Provincial tax collections totalled PKR 979 billion, exceeding IMF targets by PKR 58 billion. At the same time, the FBR fell short of its overall revenue target of PKR 12.32 trillion and collected negligible amounts under the Tajir Dost Scheme. Non-tax revenues, particularly from petroleum levies, totalled over PKR 5.6 trillion, with petroleum levy collections reaching PKR 1.22 trillion after recent rate the expenditure side, the federal government spent PKR 17.1 trillion, with current expenditures at PKR 15.8 trillion, up 15 per cent from the previous year, largely due to higher interest payments and defence costs rose to PKR 8.9 trillion, and defence spending reached PKR 2.2 trillion. After distributing PKR 6.9 trillion to provinces, federal net income stood at PKR 9.9 trillion, falling short of covering interest and defence outlays by PKR 1.2 trillion, The Express Tribune Finance Ministry attributed success in maintaining primary current expenditures within limits to lower subsidy releases, which were only 49 per cent of the allocated target. Federal development spending (PSDP) rose to PKR 1.05 trillion, a 43 per cent increase over the previous fiscal while Pakistan fell short on three key IMF conditions, the government's fiscal management and achievement of a primary surplus provide a measure of stability ahead of the upcoming review. The IMF has set about 50 conditions under the $7 billion bailout package; some of those are monitored on a quarterly and annual basis and are linked with the approval of the loan tranches. (You can now subscribe to our Economic Times WhatsApp channel) (Catch all the US News, UK News, Canada News, International Breaking News Events, and Latest News Updates on The Economic Times.) Download The Economic Times News App to get Daily International News Updates. NEXT STORY
Time of India
6 days ago
- Business
- Time of India
Pakistan falls short of 3 key IMF targets, missing revenue benchmarks for $7 billion bailout package's 2nd review
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel Pakistan has missed out on three of its five major fiscal conditions set by the International Monetary Fund (IMF) for the second review of its USD 7 billion bailout package, The Express Tribune to The Express Tribune, the shortfall is attributed to provinces failing to generate the expected cash surpluses and the federal government falling short of tax collection the Pakistgovernment expects that it would face minimal obstacles during its next month's review talks for the release of the next USD 1 billion tranche.A fiscal operations summary from the Pakistani Ministry of Finance revealed that the provinces were unable to save the targeted PKR 1.2 trillion in the last fiscal year, ending in June, due to a sharp rise in provincial expenditures, The Express Tribune Pakistan's Federal Board of Revenue (FBR) missed two key targets: collecting total revenues of PKR 12.3 trillion and PKR 50 billion from retailers under the Tajir Dost Scheme The only silver lining in all the fallout is its primary budget surplus target of PKR 2.4 trillion, which was achieved alongside total revenues collected by the four provinces, The Express Tribune marks the second consecutive year of a primary surplus and the highest in 24 years, which has surpassed the IMF expectations, The Express Tribune Pakistani federal government has put the whole blame for the setbacks on provincial overspending while stating that it had maintained fiscal overall fiscal deficit declined to 5.4 per cent of GDP (PKR 6.2 trillion), below the original target of 5.9 per cent, which is still not that significant, considering the economic crisis that the country is facing the government has maintained relative fiscal stability, official data shows that net revenues were still PKR 1.2 trillion short of covering interest payments and defence expenditures, with additional spending financed through borrowing, The Express Tribune federal government reported a primary surplus of PKR 2.7 trillion (2.4 per cent of GDP), exceeding the IMF collectively generated a cash surplus of PKR 921 billion, missing the IMF target by PKR 280 billion. Punjab recorded a surplus of PKR 348 billion, Sindh PKR 283 billion, Khyber-Pakhtunkhwa PKR 176 billion, and Balochistan PKR 113 billion, though each province reported statistical discrepancies due to additional or off-budget expenditures, The Express Tribune tax collections totalled PKR 979 billion, exceeding IMF targets by PKR 58 billion. At the same time, the FBR fell short of its overall revenue target of PKR 12.32 trillion and collected negligible amounts under the Tajir Dost Scheme. Non-tax revenues, particularly from petroleum levies, totalled over PKR 5.6 trillion, with petroleum levy collections reaching PKR 1.22 trillion after recent rate the expenditure side, the federal government spent PKR 17.1 trillion, with current expenditures at PKR 15.8 trillion, up 15 per cent from the previous year, largely due to higher interest payments and defence costs rose to PKR 8.9 trillion, and defence spending reached PKR 2.2 trillion. After distributing PKR 6.9 trillion to provinces, federal net income stood at PKR 9.9 trillion, falling short of covering interest and defence outlays by PKR 1.2 trillion, The Express Tribune Finance Ministry attributed success in maintaining primary current expenditures within limits to lower subsidy releases, which were only 49 per cent of the allocated target. Federal development spending (PSDP) rose to PKR 1.05 trillion, a 43 per cent increase over the previous fiscal while Pakistan fell short on three key IMF conditions, the government's fiscal management and achievement of a primary surplus provide a measure of stability ahead of the upcoming IMF has set about 50 conditions under the $7 billion bailout package; some of those are monitored on a quarterly and annual basis and are linked with the approval of the loan tranches.
Time of India
31-07-2025
- Business
- Time of India
'More tragic is dialogue between Trump, Pak govt': Gaurav Gogoi on 25% tariffs on India
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel Congress MP Gaurav Gogoi on Thursday called the announcement by US President Donald Trump of 25 per cent tariffs on India very "unfortunate" and called more "tragic" the dialogue between President Trump and the government of US President Donald Trump's announcement of imposing a 25% tariff on Indian products, Congress MP Gaurav Gogoi told reporters, "US President Trump's statements for the last 2 days have been very unfortunate. I feel that EAM S Jaishankar and NSA Ajit Doval should be changed. These 2 advise the PM on foreign policy, and today, you are seeing the consequences. The imposition of a tariff is very unfortunate, but more unfortunate and tragic is the dialogue between President Trump and the Pakistgovernment"He also referred to the trade deal between Pakistan and the US, as announced by Donald Trump and said it marks a "new decline" in the bilateral relationship between India and the US."He (Trump) has said that he will make an agreement with Pakistan so that India will buy oil from Pakistan in future. This exposes a new decline in the relationship between India and the US. That's why I feel the EAM and NSA should be changed..."Hours after announcing 25 per cent tariffs with additional penalties on India, US President Donald Trump on Wednesday (local time) announced a trade deal with Pakistan, touting a joint initiative to develop oil reserves in India's terror-harbouring neighbour and even floated the idea that "some day" Islamabad might sell oil to New a post on Truth Social , Trump stated that the United States and Pakistan are currently in the process of selecting the oil company for the partnership."We have just concluded a Deal with the Country of Pakistan, whereby Pakistan and the United States will work together on developing their massive Oil Reserves. We are in the process of choosing the Oil Company that will lead this Partnership. Who knows, maybe they'll be selling Oil to India some day!" Trump remarks came after Trump announced a 25 per cent tariff and additional penalty on Indian imports starting August 1, citing Washington's trade deficit with New Delhi and its purchase of Russian in his post, further stated that he had conversations on trade deals with leaders of many countries, noting "all of whom want to make the United States extremely happy.""We are very busy in the White House today working on Trade Deals. I have spoken to the Leaders of many Countries, all of whom want to make the United States "extremely happy." I will be meeting with the South Korean Trade Delegation this afternoon. South Korea is right now at a 25% Tariff, but they have an offer to buy down those Tariffs. I will be interested in hearing what that offer is," the post also noted that many countries are currently making offers to the US for "Tariff reduction.""Likewise, other Countries are making offers for a Tariff reduction. All of this will help reduce our Trade Deficit in a very major way. A full report will be released at the appropriate time. Thank you for your attention to this matter. MAKE AMERICA GREAT AGAIN!" it further read.
Time of India
25-04-2025
- Politics
- Time of India
Indus Water treaty is most unfair document to people of J-K: CM Omar Abdullah
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel Expressing strong disapproval over the Indus Water Treaty Jammu and Kashmir Chief Minister Omar Abdullah on Friday said the pact which was signed between India and Pakistan in 1960 is the "most unfair document" to the people of the Union the media, Omar Abdullah said, "The government of India has taken some steps. As far as J-K is concerned, we have never been in favour of the Indus Water Treaty. We have always believed that the Indus Water Treaty has been the most unfair document to the people of J-K."Chief Minister also discussed assurances received from the Union Home Minister Amit Shah regarding the safety of J-K residents in other states."It is regrettable that this attack took place and we ensured that whatever issues that were kept in front of us in the meeting, we will work on them. During this meeting, I spoke with the Union Home Minister and he assured me that all steps will be taken to ensure the safety of the people of J-K who are staying in other advisory will be issued by the Home Ministry and the Union Minister also spoke with the Chief Ministers of many states," he Union Home Minister Amit Shah will hold a meeting regarding the Indus Water Treaty at his residence in the national capital on Friday the Home Minister and the Union Minister for Jal Shakti, CR Paatil, other senior government officials will attend this told ANI, "India has formally notified Pakistan in writing about the suspension of the Indus Water Treaty."Debashree Mukherjee, Secretary, Ministry of Jal Shakti, as informed the Secretary of Pakistan's Ministry of Water Resources, Syed Ali Murtaza, about this decision of the Indian government through a letter. India has issued a notice for changes in the treaty. The letter states that the Indian government has given notice to the Pakistgovernment for amendments to the decision was made at a meeting of the Cabinet Committee on Security (CCS) held on April 23, chaired by Prime Minister Narendra Modi, and attended by Home Minister Amit Shah, Defence Minister Rajnath Singh, and External Affairs Minister comes after terrorists attacked tourists at Baisaran meadow in Pahalgam on April 22, killing 25 Indian nationals and one Nepali citizen while leaving several others injured.
Time of India
25-04-2025
- Politics
- Time of India
Amit Shah and Jal Shakti Minister CR Patil to hold crucial meeting; to discuss Indus Water Treaty suspension
Union Home Minister Amit Shah will hold a meeting regarding the Indus Water Treaty at his residence in the national capital on Friday (today) evening. #Pahalgam Terrorist Attack Pakistan suspends Simla pact: What it means & who's affected What is India's defence muscle if it ever has to attack? Can Pakistan afford a full-scale war with India? Besides the Home Minister and the Union Minister for Jal Shakti, CR Patil , other senior government officials, will attend this meeting. Sources told ANI, "India has formally notified Pakistan in writing about the suspension of the Indus Water Treaty." 5 5 Next Stay Playback speed 1x Normal Back 0.25x 0.5x 1x Normal 1.5x 2x 5 5 / Skip Ads by by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Memperdagangkan CFD Emas dengan salah satu spread terendah? IC Markets Mendaftar Undo Secretary of the Ministry of Jal Shakti, Devashree Mukherjee, has informed the Secretary of Pakistan's Ministry of Water Resources, Syed Ali Murtaza, about this decision of the Indian government through a letter. India has issued a notice for changes in the treaty. The letter states that the Indian government has given notice to the Pakistgovernment for amendments to the treaty. Also read: Homes of two terrorists likely involved in Pahalgam massacre blown up, demolished Live Events The notice mentioned that several fundamental aspects of the treaty have changed and require reconsideration. Changes in population, the development of clean energy, and various factors related to water distribution according to the treaty have occurred. Any treaty should be implemented in good faith, but Pakistan is promoting cross-border terrorism in Jammu and Kashmir . The letter said India has sent notices to Pakistan government seeking modification of the Indus Waters Treaty 1960 (the Treaty) under Article XII (3) of the Treaty. "These communications cited fundamental changes in the circumstances that have taken place since the Treaty was executed that require a re-assessment of obligations under the various Articles of the Treaty read with its Annexures," the letter said. "These changes include significantly altered population demographics, the need to accelerate the development of clean energy and other changes in the assumptions underlying the sharing of waters under the Treaty," it added. The letter said that obligation to honour a treaty in good faith is fundamental to a treaty. "However, what we have seen instead is sustained cross border terrorism by Pakistan targeting the Indian Union Territory of Jammu and Kashmir. The resulting security uncertainties have directly impeded India's full utilization of its rights under the Treaty," it said. Also read: From Simla Agreement to Indus Waters Treaty: Bilateral agreements signed between India & Pakistan since 1947 "Furthermore, apart from other breaches committed by it, Pakistan has refused to respond to India's request to enter into negotiations as envisaged under the Treaty and is thus in breach of the Treaty. The Government of India has hereby decided that the Indus Waters Treaty 1960 will be held in abeyance with immediate effect," it added. The Government of India has hereby decided that the Indus Waters Treaty 1960 will be held in abeyance with immediate effect. Following the Centre's announcement to suspend the Indus Water Treaty with Pakistan in response to the Pahalgam terror attack , Jal Shakti Minister CR Patil chaired a series of meetings yesterday to expedite the implementation of the decision, as directed by the Prime Minister. The Indian government has taken a significant step following the cowardly terrorist attack in Pahalgam, Jammu and Kashmir. The government has temporarily suspended the Indus Waters Treaty with Pakistan. This decision was made at a meeting of the Cabinet Committee on Security (CCS) held on April 23, chaired by Prime Minister Narendra Modi, and attended by Home Minister Amit Shah, Defence Minister Rajnath Singh, and External Affairs Minister S. Jaishankar. This comes after terrorists attacked tourists at Baisaran meadow in Pahalgam on April 22, killing 25 Indian nationals and one Nepali citizen while leaving several others injured. Also read: Pahalgam attackers likely part of earlier strikes on non-Kashmiris with Pakistani handlers The Indus Waters Treaty was signed in 1960, following nine years of negotiations between India and Pakistan, with the assistance of the World Bank, which is also a signatory. The negotiations were initiated by former World Bank President Eugene Black. Recognised as one of the most successful international treaties, it has endured frequent tensions, including conflict, and has provided a framework for irrigation and hydropower development for over half a century. The Indus Waters Treaty governs the use and distribution of the waters of the six rivers of the Indus basin - Indus, Jhelum, Chenab, Ravi, Beas, and Sutlej - between India and Pakistan. Under this treaty, the western rivers (Indus, Jhelum, and Chenab) are allocated to Pakistan, while the eastern rivers (Ravi, Beas, and Sutlej) are allocated to India.
