Pakistan Economic Crisis: The poor Pakistan is getting worse. The situation is such that to take a loan, Pakistan had to shut down its 6 ministries and had to eliminate about 1.5 lakh jobs. Pakistan, which is facing a cash crisis, announced on Sunday to eliminate about 1.5 lakh government posts, dissolve six ministries, and merge two ministries to reduce administrative expenses under the agreement with the International Monetary Fund (IMF).

Pakistan has agreed to adopt reforms as part of an agreement with the International Monetary Fund (IMF) for a loan of seven billion US dollars. The IMF finally approved the economic aid package for Pakistan on September 26.

IMF gives US$1 billion

The IMF released US$1 billion in the first phase of funding to Pakistan after it committed to cutting expenditure, raising the tax-to-GDP ratio, taxing non-traditional sectors such as agriculture and real estate, delegating some fiscal responsibilities to the provinces, and limiting subsidies.

What did the Finance Minister say?

Addressing the media on his return from the US, Finance Minister Mohammad Aurangzeb said that a program has been finalized with the IMF, which will be the last program for Pakistan. He said, 'We need to implement our policies to prove that this will be the last program.' He stressed that the economy will have to be improved to join the G20.

The minister talked about correcting the size of ministries and the decision to close six ministries is set to be implemented, while two ministries will be merged. Aurangzeb said, 'In addition, 150,000 posts will be eliminated in various ministries.' The IMF agreed to the aid package on September 26 and also released $1 billion as the first phase.

'The economy is moving in the right direction'

According to a report, there were about 3 lakh new taxpayers last year, and this year so far 7.32 lakh new taxpayers have been registered, increasing the total number of taxpayers from 1.6 million to 3.2 million. The minister also claimed that the economy is moving in the right direction and the country's foreign exchange reserves have reached their highest level.