IMF wants Pakistan to ‘do more’ than just levying taxes

INTERNATIONAL DESK: The International Monetary Fund does not seem to be satisfied with the Imran Khan government despite the latter increased taxes on a number of products and services in Pakistan as IMF’s Resident Representative Esther Perez Ruiz conveyed that Islamabad should not be limited to taking measures related to tax alone, but it should also find other ways to enhance the competitiveness of the economy.

Esther Perez Ruiz, while speaking to the office-bearers of the Lahore Chamber of Commerce and Industry on Tuesday, said the purpose of the IMF programme is to promote macroeconomic stability and the country’s fiscal and monetary policies must promote the former’s vision in this regard, according to Dawn.

The IMF officials also conveyed that the global body aims to bring a set of policies that could promote sustainable and inclusive growth.

Ruiz maintained that since the country’s tax-to-GDP ratio is very low, the purpose of eliminating sales tax exemptions to the industry through the recent finance bill is to reduce the complexity in the taxation system, according to Dawn.

Emphasising that IMF wants Pakistan to attain long-lasting and durable growth. “And for this there is need to first endeavour to implement the macroeconomic policies, leading to the country’s economic development,” she said.

The official also conveyed that the IMF will remain open to hear remarks, observations and concerns on the IMF programme. (ANI)