Government is Considering a Stimulus Package to Boost Economy

Bloomberg reported on Tuesday that the Ministry of Finance was preparing an economic stimulus package.

The Minister of Finance, Shaukat Tarin, is supposed to be leading the project, containing both monetary and fiscal features. The details of the package stimulus were not released so far because it remains a work underway, noted the report.

The Minister also said to the media that there is currently no official proposal. For the fiscal year ending June 30, 2021, Pakistan expects a growth rate of 3.9 percent. However, some of this economic progress is expected to be reduced by the second and third waves of the coronavirus.

At the same time, the government has also tried to negotiate beneficial terms with the International Monetary Fund to prevent increasing tariffs or taxes on power.

Incentives in collaboration with the State Bank of Pakistan (SBP) and the least affluent segments of society are probably included in the card stimulus package.

Pakistan has already paid the weakest segment of society Rs. 203 billion ($1.3 billion) in cash handouts, while the central banking system has provided many support packages, stated the news report.