LAHORE: The International Monetary Fund (IMF) has expressed concerns over the budget proposals for the upcoming fiscal year presented by the federal government.
In a statement, the IMF representative in Pakistan, Esther Perez Ruiz, termed the new tax amnesty scheme against the terms of the loan program and said that the new scheme creates a harmful precedent. Esther Perez Ruiz said the staff of the International Monetary Fund was busy discussing policies to maintain stability.
Read more: Pakistan faces last IMF board review before passing crucial budget
He said that the budget proposals have missed the opportunity to widen the tax net, and the long list of new tax expenditures in the budget further reduces the transparency of the tax system and the need for Benazir Income Support Program beneficiaries. “Resources will decrease,” he maintained.
He stressed measures to reduce financial pressure on the energy sector and offered to work with the government to improve it before the budget is passed. It should be noted that on June 9, Finance Minister Ishaq Dar presented the budget of Rs144 trillion for the financial year 2023-24 in the National Assembly.
