No compliance, no money: International Monetary Fund to Pak - India News and Travel Times Provides India-centric and other News and Features

The International Monetary Fund (IMF) has conveyed to Pakistan that the IMF is not an economic arm of the United States and will not be influenced by Washington with regard to giving relief to the country. Earlier, during the Pak-US strategic dialogue, Islamabad had asked U.S. authorities to influence the IMF for a waiver in the power tariff increase of six percent due from April 1 and the implementation of the VAT from July 1, 2010. However, the Fund said that it wants 100 percent compliance from Pakistan on the issue. “Following this attempt of Pakistan, the IMF conveyed to Pakistan that it is not the economic arm of the US and wants 100 percent implementation. Otherwise, it will take back its entire amount from Pakistan, as it did with Russia,” The News quoted a close aide to the adviser to the Prime Minister on finance and revenue, as saying. “ So, implement the programme in letter and spirit,” the aide added. The IMF’s Director for Middle East and Central Asia, Adnan Mazari, is currently visiting Pakistan to settle these issues before the approval of the fifth tranche of 1.2 billion dollars under the IMF’s 11.3 billion dollar bailout package. The Fund mission has extended its stay till Tuesday, as it wants clear-cut commitments from Pakistan over compliance of its covenants.