PTBP Web Desk
Prime Minister Shehbaz Sharif on Monday declared that discussions with the International Monetary Fund (IMF) regarding the upcoming federal budget for FY2024-25 had concluded successfully. The announcement signals a shift in government focus from economic stability to sustained development and institutional reform.
Addressing a select group of journalists, Prime Minister Sharif emphasized that Pakistan’s economy has now moved past its phase of crisis management and is ready to enter a new phase focused on development, reform, and international competitiveness.
“We have achieved economic stability; now we must embark on the journey of economic development,” said Shehbaz Sharif.
Economic Stability and Corruption-Free Governance
The prime minister stated that under the current tenure of the Pakistan Muslim League-Nawaz (PML-N), no corruption scandals had surfaced. This, he argued, reflected the government’s commitment to transparent governance and fiscal responsibility.
“There has not been a single case of corruption under our watch,” he claimed.
Shehbaz Sharif reiterated that the success in economic stabilization was made possible through tough decisions and cooperation with international partners, especially the IMF. He added that this success would now be leveraged to introduce long-term growth initiatives and institutional reforms.
New Phase of Reforms and Development
The prime minister pointed out that the next step for Pakistan is to transform national institutions, increase global competitiveness, and ensure economic sustainability. He stressed that future policies would revolve around strengthening governance, promoting foreign investment, and implementing fiscal reforms aligned with international best practices.
A core part of this strategy is the reform-driven budget, expected to be shaped by the conditions agreed upon with the IMF. The Finance Minister Muhammad Aurangzeb will present the federal budget on June 10, a delay from the initial June 2 deadline caused by prolonged IMF negotiations.
The upcoming budget is expected to balance fiscal consolidation with targeted relief measures aimed at protecting vulnerable communities from inflationary pressures. It is also likely to include reforms in taxation and development spending.
Development Budget Revised
The Public Sector Development Programme (PSDP), which was initially set at Rs1.4 trillion, has seen two downward revisions amid fiscal constraints and IMF oversight. The amount was first cut to Rs1.25 trillion, and later further reduced to Rs1.096 trillion.
The PSDP includes key infrastructure and public-private partnership (PPP) projects, and the government aims to ensure that funds are allocated to high-priority sectors such as energy, transport, and digital infrastructure.
This approach reflects a broader strategy to rationalize public spending while ensuring strategic investments that can boost economic output and job creation.
Regional Diplomacy: Willingness for Dialogue with India
In a significant foreign policy remark, Prime Minister Shehbaz Sharif expressed Pakistan’s willingness to engage in comprehensive dialogue with India. He proposed talks on four critical issues: Kashmir, water rights, trade, and terrorism.
“Pakistan is willing to hold talks anywhere in the world,” said Sharif, signaling a more open approach to regional diplomacy.
