Saudi Arabia had already given $3 billion deposits to the State Bank of Pakistan and an oil facility on deferred payment worth $1.2 billion during the tenure of the last PTI-led regime. The deposits were given in December 2021, while the Saudi Oil Facility (SOF) was started in March 2022 with oil supply of $100 million in a month.
Economy
The government spent 2.1 trillion rupees on debt financing while 881 billion rupees were spent on defence in nine months of FY 2021-22.
A few days ago, Finance Minister Miftah Ismail had already stated that the government would have to discard subsidies programme announced by ex-PM Imran Khan in March
The court noted that reading of the ordinance and the rules envisaged that any proceedings against a taxpayer that were based on the tax records maintained by them should be initiated within a fixed timeframe.
Finance Ministry officials also claimed that the IMF has agreed to enhance loan for Pakistan from $6 billion to $8 billion.
Through technical assistance to the government and private sector, the project will also improve the management and operations of power transmission and distribution systems, increasing the financial viability, reliability, and affordability of Pakistan’s power system.
The report showed the PTI government’s heavy reliance on foreign loans to finance the rising current account deficit and maintain foreign exchange reserves needed to finance higher imports and earlier loans.
The PTI government gave autonomous status to SBP in the wake of agreement with the International Monetary Fund (IMF) for securing $6-billion loan stalled programme.