ISLAMABAD - International Monetary Fund’s Resident Chief Teresa Daban Sanchez Sunday believed that despite the testing times, Pakistan’s economy is heading towards the right direction as the government’s extensive measures have helped it move progressively.
“The government took bold steps to protect the country from bankruptcy and helped the lockdown-bruised economy recover from the slump in first phase of Covid-19 critical situation,” she said while speaking to a private news channel.
She said that Pakistan was performing well under the IMF program during the pre-COVID-19 situation. She said that Pakistan’s GDP growth rate would turn into shrinking and negative mode for the current fiscal because of COVID-19 situation.
Pakistan would have to utilise an additional funds from its budget because of corona virus, adding, IMF was quite happy the way Pakistan was implementing different policies to achieve fiscal consolidation and would continue to provide its support to the country to face the socio-economic challenges posed by Covid-19. She also emphasised for recalibration of reforms as well as increase in revenue collection, ambitious tax policy reforms and broad base fiscal structural reforms are the need of hour.
She suggested that it will be better if the opposition sits with the government, current policies of the country need to be adjusted with reality and if there is any need in the third wave, then the IMF program will be adjusted accordingly.
She also stressed on reforms that have been recommended and are necessary for the help of the poor and vulnerable.