IMF asks Pakistan to revisit NFC Award
ISLAMABAD: The International Monetary Fund (IMF) has called upon Pakistan to revisit the National Finance Commission (NFC) Award with the provinces.
This demand came during the second day of talks between Pakistani officials and the IMF under the second review of the $3 billion standby arrangement (SBA).
Article 160 of the Constitution authorises the president to approve the distribution of revenues between the federation and the provinces through order of the NFC Award.
The newly formed government informed the IMF delegation that the provincial shares could not be reduced without a constitutional amendment.
The 2010 NFC Award had been agreed for five years but since then there has not been any consensus to revisit it.
The international lender also sought a plan for Pakistan International Airlines (PIA) and other government entities’ privatisation.
During the talks, the IMF delegation raised concerns on the performance of the energy sector, the sources within the ministry revealed.
The delegation was also briefed on the domestic financing, government guarantees and the expenses of the health and education sectors during the meeting.
A nod from the IMF would unlock the $1.1 billion loan tranche for Pakistan.
Meanwhile, Federal Minister for Information and Broadcasting Ataullah Tarar has said that negotiations with the IMF are progressing positively.
Addressing a news conference in Islamabad on Friday, Tarar highlighted the constructive influence these discussions are having on the stock market and investor confidence.
The minister, however, regreted that the Pakistan Tehreek-e-insaf (PTI) is bent upon sabotaging the IMF deal. He said the party’s handful of supporters held a protest outside the building of the IMF and the World Bank in the US, demanding the deal not be struck with Pakistan.
He said this party has always pursued antiPakistani policies and their dream is for the country to default.
He said that anarchists living abroad have staged a demonstration against Pakistan in America.
He said that the party involved in the May 9 incidents is working against the interests of Pakistan.