IMF delegation due on October 27

IMF deleation will arrive October 27 to assess performance of economy in relation to release of next tranche.

ISLAMABAD: A delegation of the International Monetary Fund (IMF) will arrive for a week-long visit on October 27. The delegation will assess the performance of the economy during the first quarter of fiscal year 2011 in relation to the release of next tranche of the standby arrangement.

Sources from the ministry of finance said that the delegation will review steps taken for the implementation of reformed general sales tax (RGST), the economic situation of the country and the progress towards meeting IMF’s targets and conditions.

Sources say that the execution of the RGST was the most critical condition in this arrangement. They added that the RGST bill has been prepared and will be presented in the national and provincial legislative bodies on November 1. The bill is expected to be passed within 30 days after its presentation.

The IMF will prepare a report on its findings and if the report is completed within the first week of December then the report will be discussed in the IMF executive board meeting on December 17. The executive board will decide, on the basis of that report, whether to release the next tranche.

Published in The Express Tribune, October 23^rd, 2010.