Consolidating gains

THOUGH IMF Resident Representative for Pakistan Mahir Binici’s words of commendation for the country’s “strong performance so far” under the $7bn Extended Fund Facility (EFF) ‘vindicate’ the government’s economic and fiscal policies, his compliments should be taken with a pinch of salt. His praise for the government’s economic performance is primarily based on the relatively stronger implementation of IMF programme goals, which have indeed helped pull the economy back from the brink. But they have also imposed a very heavy cost on growth and ordinary people. Noting that the successful first review of the EFF encompassing the agreement on the federal budget blueprint was a major milestone, he told a group of researchers and economists in Islamabad recently that the country’s growth prospects in 2025 and beyond would improve.