The last mile

HERE it comes. The coming IMF review is going to be successful, but the government is likely to emerge significantly more hamstrung at the other end. We should expect an embattled budget drawing up process as the search for more innovative means to address business community concerns collides with a fiscal effort that needs to try and plug a Rs600 billion gap in the revenue target before June. A number of recent moves are giving the game away. For example, the finance minister is on record assuring the country that the review will be successful. Usually these assurances mean much has already been squared out between the authorities and the Fund staff, so it’s a safe bet that the review will be successful considering there is over-performance on the primary balance targets, which are a central plank of the programme.