- The International Monetary Fund (IMF) has linked the government package for construction industry with “stringent” conditions of timelines, nature and goals, aimed at providing support to the most vulnerable segments of the population, suffered due to COVID-19 crisis.
- Prime Minister Imran Khan Friday announced an incentives package comprising tax exemptions and subsidies of Rs 30 billion for the construction industry in order to increase employment opportunities in the country in the wake of coronavirus outbreak.
- The IMF official said that the Fund is providing advice to member countries in these difficult times. “Our advice is that whatever policy action the government implements has to be targeted, temporary and focused on providing support to the most vulnerable segments of the population,” said Sanchez.
- She added, “The COVID-19 crisis is posing sizeable challenges to the world economy and to Pakistan. In Pakistan one of the challenges is a large negative impact on daily wage workers and the government is very concerned about it. I think this is background besides this package.
“Our advice to Pakistan, as well as to other member countries, has been that whatever policy action the government implement has to be targeted, temporary and focused on providing support to the most vulnerable segments of the population”, said Teresa Dabán Sanchez.
- Federal Minister for Planning and Development Asad Umar told that the package for construction industry was approved after consultations with the IMF.
- Prime Minister Imran Khan contacted Managing Director IMF and took on board on the package for construction industry,” said Umar, adding that the package came after consultation with the Fund as Pakistan is in the programme.
- Government officials said that coronavirus has created extraordinary situations globally where the IMF has taken extraordinary measures. The relaxation in the IMF programme targets is not specific but for all member countries which are currently on the Fund programme, the official added.