IMF stops govt to increase salaries of Grade 1 to 18 employees

The International Monetary Fund (IMF) had asked the finance ministry not to increase the salaries and pensions of the government employs.

According to the reports of BOL News, Finance Ministry sources said that a 10% increase in salaries and pensions will put a burden of Rs 143 billion on the exchequer in a year and the government will have to pay Rs 12 billion a month in additional salaries and pensions.

The IMF did not allow to increase the payment of salaries from government revenue as the currents government revenues do not allow for an increase.

The government is already facing a deficit of Rs 3437 billion and this amount can be obtained by imposing 5% surcharge on import, salaries and pensions should be increased in the mini-budget when the situation improves.

Salary slashed all over the world due to the ongoing situation and Pakistan is increasing, sources said

Inflation has risen in Pakistan, the purchasing power of the common man has decreased, inflation is in single digits all over the world and in double digits in Pakistan, Ministry of Finance, Sources said.

It should be noted that the Pakistan Tehreek-e-Insaf (PTI) government has presented a budget of Rs 71.36 trillion in which no new tax has been announced.

The government in its second annual budget increased the defence budget by 12% but there is no relief for the government employees in the budget.

The budget was presented by Minister for Industries and Production Hamad Azhar in a meeting of the National Assembly chaired by Speaker Asad Qaiser.

Presenting the budget proposals for the financial year 20-2020 in the National Assembly, Minister of State for Industry Hamad Azhar had said that it was an honour and pleasure for him to present the second annual budget of the PTI government.

PTI provides relief to people in the federal budget with no tariffs: FM Qureshi