PM Shehbaz Sharif terms $3b IMF agreement a 'breathing space'

Prime Minister Shehbaz Sharif Monday described the recently reached $3 billion standby agreement with the International Monetary Fund (IMF) as a crucial "breathing space" for Pakistan's economy.

He emphasized the need to convert this opportunity into a stepping stone towards sustainable development through a unified vision and strategic approach.

Chairing a meeting of the federal cabinet in Islamabad, the Prime Minister announced that the first tranche of $1.1 billion from the agreement is expected to be received later this month.

He commended the efforts of Finance Minister Ishaq Dar, his economic team, and Foreign Minister Bilawal Bhutto Zardari in successfully negotiating the nine-month agreement with the IMF.

Despite appreciating the efforts made to secure the agreement, Shehbaz Sharif cautioned against complacency. He stressed the importance of collective efforts and a forward-looking roadmap to ensure that this IMF deal becomes the last one for Pakistan, highlighting the need for a sustainable economic model.

Prime Minister Shehbaz Sharif acknowledged the significant support received from China, which provided roll-overs of $5 billion in loans to Pakistan during the difficult economic situation the country faced in the past months. He expressed gratitude to China for its continuous assistance, which has been instrumental in mitigating Pakistan's economic challenges.

Furthermore, the Prime Minister expressed his thanks to Saudi Arabia and the United Arab Emirates for their commitment of $2 billion and $1 billion respectively, along with the Islamic Development Bank's pledge of $1 billion to support Pakistan's financial stability. He particularly recognized the role played by Chief of Army Staff General Asim Munir in securing this financial assistance from the two Gulf countries.

While addressing the dire state of State-Owned Enterprises (SOEs) in Pakistan, Shehbaz Sharif voiced concern over their financial burden, amounting to approximately Rs. 600 billion annually. He emphasized the need for decisive actions to steer the country in the right direction and strengthen the economy.

During the cabinet meeting, Prime Minister Shehbaz Sharif urged all national institutions to collaborate and collectively work towards freeing the country from the burden of loans. He called for a united effort over the next 15 years, where each institution would contribute within its jurisdiction to achieve economic prosperity and progress.

Stating that a vision, unity, hard work, and sacrifices from the affluent were essential for Pakistan's economic revival, the Prime Minister expressed hope that with a determined approach, Pakistan would achieve remarkable progress.

In response to a recent despicable incident of the desecration of the Holy Quran in Sweden, Shehbaz Sharif strongly condemned the act and demanded immediate action against the perpetrators. He called on the Swedish government to address the issue of Islamophobic acts and ensure that such incidents do not reoccur in the future.

The Prime Minister expressed satisfaction with the emergency session of the Organisation of Islamic Cooperation (OIC) in response to the incident and endorsed the OIC's stance, hoping that collective efforts would prevent the recurrence of such spiteful acts against Islam.

As the government's term approaches its end, Shehbaz Sharif urged cabinet members to focus on formulating a comprehensive policy framework that would set a clear vision and roadmap for Pakistan's future development.