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IMF team

due next

week

ISLAMABAD: IMF review mission is expected to arrive here next week to hold negotiation on stalled tranche of $280 million under $1.6 billion ESAF/EFF programme.

Relevant government quarters are also preparing their respective reports at brisk pace for dialogue with the review mission, informed sources said.

The Bretton Woods mission will also be briefed about the home-grown New Economic Agenda, carved out by the government to retrieve the economy back on the rails, sources added.

A hihg-level IMF delegation headed by Paul Chabbrier, Director Middle Eastern department, held meeting with Pak authorities earlier last month.

The talks held between country's new economic managers and Fund's delegation focused on future direction of Pak-Fund relations.

The forthcoming mission will review macroeconomic performance of the country which is the task of routine Fund review missions, sources said.

The government announced gradual implementation of General Sales Tax across the board besides expressing strong hope for resolution of IPPs issue ÑÊmainly Hubco problem.

Agreements have been inked with ten Independent Power Producers while talks are proceeding with the rest of the Producers, sources stated.

Implementation of General Sales Tax and resolution of IPPs issue are the main strings attached to the release of Fund's tranche under ESAF/EFF programme.

The government has already taken major economic decisions including raise in petroleum prices, implementation of GST, discontinuation of Foreign Exchange Bearers Certificates and Foreign Currency Bearers Certificates and revamping of existing tax structure to underpin the crumbling economy.

The loan and tax recovery campaign launched by the government against wilful defaulters has been commended by the international financial institutions which posted over Rs. 12 billion within short period.

The government is taking concrete steps to recover optimal defaulted loans and evaded taxes to put the economic fabric on the track of swift resurgence.ÑAPP