SHC to ask SBP, finance ministry about IMF loan

Petitioner claims govt can only take loan up to 60% of GDP

KARACHI: The Sindh High Court (SHC) issued on Monday notices to the attorney general, State Bank of Pakistan (SBP), Ministry of Finance, and other relevant authorities over a plea challenging the collection of the third installment of loan from the International Monetary Funds (IMF).

A bench comprising Justice Muhammad Ali Mazhar and Justice Yousuf Ali Sayeed was hearing the plea.

The petitioner, Barrister Ali Tahir, maintained that the government had issued a press release for the collection of $452 million as the third installment of the loan. Tahir claimed that according to the law, the government can only take a loan up to 60 per cent of the country's total gross domestic product. He moved the court to restrict the government from taking the third installment of the loan as it had already borrowed a hefty amount from the IMF.

However, the court rejected his request to immediately issue a stay order to the government. Justice Mazhar remarked that the court would first inquire about the matter from the government and only then decide what steps needed to be taken.

The court issued notices to the relevant authorities, seeking replies by March 19.

New chairperson

Another bench, comprising Justice Nadeem Akhtar and Justice Adnan Karim Memon, issued a written order to appoint a new chairperson for the Sindh Textbook Board within 15 days.

In a plea seeking the removal of Agha Sohail Ahmed Pathan from the post, the petitioner maintained that the court had ordered Pathan's removal as chairperson on March 20, 2018, over corruption charges, but the judicial orders were not complied with. Expressing annoyance, the bench warned relevant officials of contempt of court proceedings if they did not implement the order. 

Published in The Express Tribune, March 5^th, 2020.