Punjab Chief Minister Maryam Nawaz has stated that the latest International Monetary Fund (IMF) programme will be the final one.
In her statement, Maryam Nawaz mentioned that Pakistan’s economy is now in a position to take off. The time is near when Pakistan will emerge as an economic power.
The IMF’s positive response is encouraging for economic growth. The recent IMF programme will be the last one. Prime Minister Shehbaz Sharif and his team have played an unforgettable role in addressing the economic crisis.
Maryam Nawaz further noted that the reduction in the policy rate will have positive effects on business and the economy. Investor confidence is steadily increasing.
The prices of essential food items in Punjab are the lowest compared to other provinces. The reduction in inflation has provided relief to the public.
The State Bank of Pakistan (SBP) earlier on Thursday announced a 200 basis points cut to the federal interest rate bringing it to 17.5%.
This decision follows a sharper-than-expected decline in inflation, with headline inflation dropping to 9.6% in August from 12.6% in June, and core inflation falling to 11.9%. The cut reflects falling global oil and food prices and a delay in energy price hikes.
However, the SBP had cautioned about risks from global economic volatility and domestic energy adjustments. The central bank’s foreign exchange reserves are at $9.5 billion, and it maintains a GDP growth forecast of 2.5% to 3.5% for FY25.
Tax collection has fallen short of targets, adding pressure on fiscal policy.
