Islamabad: The Standing Committee on Finance and Revenue, chaired by Hon. Syed Naveed Qamar, has underscored the necessity for economic reforms in Pakistan to be grounded in a coherent and sustainable strategy, particularly in light of potential costs to consumers, businesses, and the broader economy. During a comprehensive review of the country’s Extended Fund Facility (EFF) Programme with the International Monetary Fund, the committee stressed the importance of fiscal consolidation, investment promotion, and sustainable growth.

According to National Assembly of Pakistan, the meeting included a detailed examination of the EFF Programme’s implementation, focusing on fiscal consolidation, revenue mobilization, structural reforms, and several other key areas. The committee highlighted that the assessment of the IMF Programme should extend beyond formal compliance to ensure that reforms result in tangible economic and social outcomes. Key topics of discussion included energy-sector measures, governance of State-Owned Enterprises, climate commitments, and privatization initiatives.

The Secretary of the Finance Division briefed the committee on the status of the EFF Programme, approved in September 2024, with disbursements totaling $4.5 billion out of a $7 billion commitment. The Programme aims to support balance-of-payments needs and macroeconomic stability through various reforms. The committee also reviewed the governance framework for State-Owned Enterprises and received updates on privatization efforts, including the proposed sale of Distribution Companies and restructuring of Pakistan International Airlines.

In its discussions on public-sector austerity measures, the committee examined the fiscal benefits of initiatives such as a temporary reduction in fuel provision for official vehicles. The committee emphasized the need for measurable savings and improved expenditure efficiency linked to these austerity measures.

The meeting concluded with calls for outcome-oriented reporting and comprehensive financial information to enable effective parliamentary oversight and a thorough assessment of the economic and social impacts of the Programme’s reforms. The committee deferred consideration of certain agenda items due to inadequate presentations and confirmed the minutes of its previous meeting.