Sunday, 11 April 2021
ASHGABAT, APR 11: A kidney transplant operation was performed for the first time in Turkmenistan. Minister of Health and Medical Industry Nurmuhammet Amannepesov reported to President Gurbanguly Berdimuhamedov on the successful operation of domestic specialists, Trend reports citing Kabar.
The patient received a kidney transplant from a close
relative. Currently, both the patient and the donor are doing well. Both are
under medical supervision, the minister said.
The head of state, congratulating the doctors from the bottom of his heart, noted with satisfaction that this operation is a great success for our doctors and the healthcare sector, the “Vatan” news program of Turkmen television reported.
---------------------------------------------------------
COURTESY en.trend.az
-------------
GUJRAT, APR 11: In the much-awaited re-election in the Daska (NA-75) constituency of the National Assembly after the February by-poll had been marred by violence, rigging and disappearance of over 20 presiding officers, the opposition Pakistan Muslim League-Nawaz on Saturday emerged victorious by defeating the ruling party’s candidate with a margin of 16,642 votes.
According to unofficial result of all 360 polling stations compiled by the returning officer, PML-N’s Syeda Nosheen Iftikhar won the contest by securing 110,075 votes against Pakistan Tehreek-i-Insaf’s Ali Asjad Malhi who bagged 93,433, while Tehreek-i-Labbaik Pakistan’s Khalil Sandhu received 8,268 votes.
As the Election Commission of Pakistan (ECP) ensured strict security arrangements for the re-election, Daska remained largely peaceful this time except a few incidents of exchange of harsh words between supporters of the PTI and PML-N. The ECP had earlier withheld the results of the Feb 19 by-poll in Daska due to rigging, disappearance of over 20 presiding officers and violence, and ordered a re-election in the entire constituency. The move was challenged before the Supreme Court, which upheld the ECP decision.
Soon after the party’s victory, PML-N vice president Maryam Nawaz in her tweets congratulated the candidate and said one after another defeat in by-elections in all the provinces indicated that people had no trust in the government. Rejected by the masses, the government had no reason to continue, she tweeted.
The NA-75 seat fell vacant after the death of PML-N MNA Syed Iftikharul Hassan aka Zahry Shah in August 2020. In the 2018 general election, Mr Hassan had secured 101,617 votes against PTI’s Malhi who bagged 61,727 votes.
According to the ECP, there were a total of 494,003 registered voters, including 273,006 male and 220,997 female voters, in the constituency.
On Saturday, Daska Deputy Superintendent of Police Malik Adnan told Dawn that at least three PTI workers were arrested for displaying weapons at a polling station of Uggo Chak. The police seized two Kalashnikovs, two pistols and a 223 bore gun, besides several rounds of bullets from them, he added.
Similarly, the officer said, six PML-N supporters were detained at the same polling station for ‘creating unrest’, adding that cases had been registered against them.
The Punjab government had imposed Section 144 in Sialkot district banning display of weapons.
There was a heavy deployment of law enforcement agencies around sensitive polling stations to avert violence, while Pakistan Rangers and Punjab police personnel continued patrolling in Daska town and its adjoining areas all day.
Locals appreciated that teams of the LEAs were quick in response even to their calls about exchange of slogans between the supporters of rival candidates at some polling stations.
Activists and supporters of both parties at various polling stations, however, were worried about relatively low turnout of voters and attributed this to the repeated elections in the constituency within a short span of time as well as the change of polling date three times since Feb 19. Some believed the low turnout was due to the third wave of Covid, as people preferred to stay indoors.
The by-election was widely covered by the media as a number of journalists from Lahore, Islamabad and Gujranwala region arrived here to report after a video showing presiding officers taking away ballot boxes during the last by-election had gone viral on social media.
Special Assistant to Punjab Chief Minister on Information Dr Firdous Ashiq Awan told a press conference after the polling that Prime Minister Imran Khan had given instructions to Chief Minister Usman Buzdar to ensure a ‘level-playing field’ in the by-poll.
Electronic media had shown that the polling was conducted in a smooth and peaceful manner, Ms Awan said, adding that the administration had complied with the ECP instructions in letter and spirit.
------------------------------------------------------
COURTESY DAWN NEWS
----------
Saturday, 10 April 2021
JOHANNESBURG, APR 10 – Pakistan defeated South Africa by four wickets in a thrilling finish to the first Twenty20 international at the Wanderers Stadium in Johannesburg on Saturday.
Needing 11 of the last over, Pakistan reached home with just one ball remaining.
Hasan Ali and Mohammad Rizwan scampered for a third run after the bowler couldn’t collect the ball cleanly from the outfielder at deep midwicket to secure Pakistan’s win.
Rizwan was once again the star for Pakistan, batting through the innings and scoring a swift 74 from 50 balls, including nine fours and two sixes.
Earlier, South Africa won the toss and decided to bat, setting the visitors a target of 189 runs.
Heinrich Klaasen, who is captaining South Africa in place of the injured Temba Bavuma, led from the front with a half century from 28 balls.
Opener Aiden Markram was the highest scorer for the Proteas, scoring 51 runs from 32 balls before he was caught behind off spinner Mohammad Nawaz.
Nawaz and Hasan Ali picked up two wickets a piece, with Shaheen Afridi and Haris Rauf also bagging a wicket each.
South Africa ended the innings with a huge six from Sisanda Migala as the visitors picked up 14 runs from the final over, settling at 188/6.
After the toss, Klaasen said he expected the pitch to be at its best in the first innings.
“It looks quite dry. Hopefully it will crumble a bit later.”
South Africa, missing five players who have left to play in the Indian Premier League and without Bavuma, Rassie van der Dussen and Dwain Pretorius because of injury, named three new caps in all-rounder Wihan Lubbe and fast bowlers Sisanda Magala and Lizaad Williams.
Pakistan included two players, Haider Ali and veteran Mohammad Hafeez, who were not part of their winning one-day international team in a series which ended on Wednesday.
Teams:
South Africa: Heinrich Klaasen (captain, wkt), Aiden Markram, Janneman Malan, Pite van Biljon, Wihan Lubbe, George Linde, Andile Phehlukwayo, Sisanda Magala, Beuran Hendricks, Lizaad Williams, Tabraiz Shamsi
Pakistan: Babar Azam (captain), Mohammad Rizwan (wkt), Fakhar Zaman, Mohammad Hafeez, Haider Ali, Mohammad Nawaz, Faheem Ashraf, Hasan Ali, Shaheen Shah Afridi, Usman Qadir, Haris Rauf
Umpires: Adrian Holdstock, Allahudien Paleker (both RSA)
Television umpire: Bongani Jele (RSA)
Match referee: Andy Pycroft (ZIM)
-----------------------------------------------------
COURTESY DAWN NEWS
-----------
OSLO, APR 10: On Friday, Prime Minister Erna Solberg (H) apologized once again for breaking the infection control rules. She said she would pay the NOK 20,000 fine.
“Of course, this is embarrassing for me. I am very sorry and
should not have done this,” Prime Minister Erna Solberg told NTB.
“I have previously said that if the restaurant visit results in fines, we would, of course, pay them. I apologize for what happened and will pay the fine,” she said.
Her husband Sindre Finnes will not be fined, but Solberg will thus have to pay NOK 20,000 kroner after gathering her family for her birthday party in Geilo during the winter holidays.
Maintaining public trust in the rules
Solberg herself did not participate in the dinner in Hallingstuene. Still, the police believe she was involved in the decision that led the family to eat out, that she knew how many people would participate, and that she chose which restaurant they should book a table at.
The police justified the decision by saying that it is appropriate to impose a fine in order to maintain the public’s trust in the infection control rules.
“Even though the law is the same for everyone, not everyone is the same,” police chief Ole B. Sæverud said when the police informed the public about the case on Friday.
------------------------------------------------------
COURTESY norwaytoday
-------------
- The head of government was fined 20,000 Norwegian kroner, or about $2,300
OSLO, APR 10: Norwegian Prime Minister Erna Solberg received
a hefty fine on Friday for breaking the country’s virus curbs by organizing a
family birthday dinner that she ended up not attending, police said.
Police concluded that the dinner organized in part by
Solberg had exceeded the number of guests allowed at private functions.
For the infraction, the head of government was fined 20,000
Norwegian kroner (about $2,300).
“Even if the law is equal for everyone, everyone is not
equal,” Commissioner Ole Saeverud told a press conference.
“Solberg is the country’s foremost elected official and has,
on a number of occasions, been the leading figure in the government’s decisions
on measures to counter the pandemics,” Saeverud added.
“It is therefore considered justified to give a sanction to
maintain public confidence in the health rules,” he argued.
Public broadcaster NRK revealed in mid-March that Solberg
celebrated her 60th birthday with her family at a ski resort under conditions
that seemed to violate health guidelines.
On 25 February, 13 members of her family had dined at a
restaurant in the town of Geilo, although rules limited the number of
participants in a private event in a public space to 10.
Solberg herself had not attended the dinner as she needed to
go to the hospital to deal with eye issues, but police still held her
responsible for organizing the event.
After the event came to light, Solberg made a public apology
and said she was prepared to pay potential fines.
On Friday, the prime minister reiterated her apology and
said she wouldn’t appeal the decision.
“We should not have broken the rules and I want to apologize
again,” she told broadcaster TV2.
The affair, which has made the rounds on social networks,
has tarnished the image of the leader – who has generally been praised for the
government’s handling of the health crisis – ahead of the parliamentary
elections on 13 September.
Commenting for news website ABC Nyheter, journalist David
Stenerud called it “a good day for Norwegian rule of law.”
“It’s remarkable that our own Prime Minister was investigated for breaking the rules she imposed on us. And even more incredible that she is now convicted,” Astrid Meland, editorial writer for newspaper Verdens Gang, wrote.
-------------------------------------------------------------------
COURTESY arabnews
-------------
ISLAMABAD, APR 10: India and Pakistan may stumble into a large-scale war neither side wants, warns a US intelligence report while exploring the possibilities of miscalculations leading to a war in South Asia.
The assessment is included in a Global Trends report produced every four years by the US government's National Intelligence Council, released in Washington. The report, released on Wednesday, focuses on both immediate and distant futures and is designed to help policymakers anticipate the forces likely to shape the world in the next five to 20 years.
“India and Pakistan may stumble into a large-scale war neither side wants, especially following a terrorist attack that the Indian government judges to be significant,” the report warns.
The ability of some militant outfits to conduct attacks, New Delhi’s resolve to retaliate against Islamabad after such an attack, and Islamabad’s determination to defend itself “are likely to persist and may increase” in the next five years, the report adds.
“Miscalculation by both governments could prompt a breakdown in the deterrence that has restricted conflict to levels each side judges it can manage.”
The report warns policymakers in Washington that “a full-scale war could inflict damage that would have economic and political consequences for years.”
The US policy in Afghanistan and its impact on the neighbouring countries is top on a list of key uncertainties in South Asia that are underlined in the report.
“US actions in Afghanistan during the next year will have significant consequences across the region, particularly in Pakistan and India,” the report states.
This would be “especially true” if a security vacuum emerges in Afghanistan that results in a civil war between the Taliban and its Afghan opponents, expanded freedom of manoeuvre for regional terrorist networks, or criminals and refugees flowing out of the country, it adds.
The report predicts that such an outcome would exacerbate political tensions and conflict in western Pakistan and sharpen the India-Pakistan rivalry by strengthening longstanding judgments about covert warfare in Islamabad and New Delhi.
“An abrupt US exit probably would also amplify concerns that the United States will lose interest in South Asia generally,” the document says.
The US intelligence community estimates that India and China may also slip into a conflict that neither government intends, “especially if military forces escalate a conflict quickly to challenge each other on a critical part of the contested border”.
In June 2020, a short military exchange resulted in the deaths of at least 20 Indian soldiers, exacerbated the strategic rivalry between Beijing and New Delhi and sharply affected international perceptions of both countries.
The report puts the prospects for increased regional trade or energy cooperation in South Asia during the next five years as low, “due in part to the high probability of ongoing hostility between India and Pakistan". Trade within South Asia is already the lowest of any region in the world.
The US intelligence community warns that water insecurity in the region is also an increasing risk. The assessment includes forecasts by the United Nations Development Programme (UNDP) that Pakistan could face absolute water scarcity by 2025, given a combination of poor water conservation practices, rising temperatures, and decreased rainfall.
The report notes that previous extreme weather events, such as the 1970 cyclone in the Bay of Bengal, contributed to state failure in then-East Pakistan and the creation of Bangladesh the next year. It warns that future events could also prompt a regional crisis with enormous humanitarian, political, and security implications to which external powers probably would try to respond.
The report points out that security threats have “undergirded popular support” for nationalist leaders, and these threats are likely to continue or worsen in some cases. For example, “military tensions between India and Pakistan are at their most contentious in many years, strengthening leaders in both capitals.”
The US intelligence community notes that information technology is fuelling authoritarian tendencies by making it easier for South Asian governments to influence their populations. It points out that in 2019, India “led the world in Internet shutdowns by a wide margin” — with several months-long crackdowns to suppress protests, including in occupied Kashmir. Pakistan has deployed Huawei’s Safe Cities technology, raising public fears of increased surveillance.
The report notes that the balancing approach, particularly in relation to China, also affects regional dynamics. Bangladesh, Maldives, Nepal, Pakistan and Sri Lanka probably judge their countries “can more easily deflect New Delhi’s demands or block its regional leadership aspirations by maintaining ties with Beijing”.
For its part, New Delhi probably will look for ways to mitigate Chinese influence given China’s expanding foothold in the Indian Ocean, the report adds. For example, India almost certainly will continue to encourage Japan to offer economic investment and some military cooperation to other South Asian countries to push them to align more closely with New Delhi and Tokyo.
The report predicts that despite their growing interest in China, almost every government in the region will seek to maintain ties with the US as part of their balancing efforts. The United States is the biggest export market for Pakistan, Sri Lanka and Bangladesh, and most South Asian leaders continue to cultivate and publicly tout their relationships with Washington.
US intelligence analysts predict that during the next five years, slowing economic growth and growing polarisation will pose an increasing risk to traditions of democratic and independent governance in several countries in South Asia.
Many countries will strengthen their efforts to hedge and balance their relationships with multiple external powers, including China, Russia, Japan, and the US.
Through 2025, South Asia will have to manage the challenges that internal security problems, the risk of inter-state war, and the effects of climate change and pollution pose to at least some countries’ longer-term democratic and economic development.
The report projects that economic growth in South Asia will remain slow during the next five years and will be insufficient to employ the region’s expanding workforce — especially as the world emerges from the pandemic.
Before the Covid-19 outbreak, unemployment in India had reached a 40-year high until GDP growth slowed markedly in the latter half of 2019, and India’s strict lockdown from March to May 2020 temporarily drove unemployment up to 23 per cent.
The report argues that the region’s economy is hampered by outdated legal systems, severe pollution, water shortages, and highly bureaucratic regulatory environments — all increasing investor uncertainty. “No government in the region is prepared to undertake economic reforms on the scale required to generate robust growth,” the report adds.
It notes that almost all the economies in the region remain focused on agriculture, with the bulk of their workforces dependent on farming. Most countries’ agricultural sectors are underproductive in relation to the large share of government funds and natural resources they consume.
According to the report, this disparity is driven by a variety of factors, including growing water scarcity, environmental damage and climate change effects, and government failure to reform agricultural subsidies that benefit rural constituents at the expense of growing urban populations.
Democracy
US intelligence analysts argue that despite some signs of sustained democratisation, domestic politics in much of the region are likely to continue on the polarising course of the past few years, and this trend may sharpen in some countries.
“Strongperson leaders, even those elected in largely free and fair contests, probably will push majoritarian agendas that widen factional divides — potentially weakening political stability in societies already split along sectarian and ethnic lines,” they warn.
“This political polarisation is rooted in strongly felt nationalist narratives that have become prominent in recent years and met little effective resistance from opposition parties or the courts.”
The report warns that polarising political rule of some leaders in the region will probably increase the inequities or abuses faced by minorities and political opponents of the ruling parties.
“In India and Sri Lanka, Muslims are likely to continue to experience growing political and economic discrimination from Hindu and Sinhalese Buddhist nationalist ruling parties.”
The report notes that Afghanistan too is seeing an intensification of ethnic tensions between Pashtuns and other ethnic groups, a trend that is accelerating as Afghans prepare for the withdrawal of Western troops.
The combination of eroding institutions, mounting security threats, and new digital technologies is likely to enable some South Asian leaders to continue advancing their authoritarian policies, but probably in the face of an uncertain political cost associated with an economic slowdown, the report warns.
It notes that some of these leaders have applied majoritarian political formulae, whereas others have undermined independent judiciaries, election commissions, and politically neutral militaries and bureaucracies, weakening potential future resistance.
----------------------------------------------------------------
COURTESY DAWN NEWS
-------------
KARACHI, APR 10: Pakistan will launch an e-passport system by June and services of a German company have been acquired for this purpose, said the interior minister on Friday.
Talking to reporters after visiting the FIA’s zonal office, Sheikh Rashid Ahmed said it was a major development which would help remove all the hurdles faced by passport seekers in the current system.
“I assure you that this [e-passport] service would be available by June [2021],” he said in reply to a question. “After that you would not hear any complaints or year long delays for minor work. A German company has been hired for this project and it would be a major relief for all those seeking speedy service by the passport office.”
An e-passport is a highly secure travel document with an embedded microchip containing biometric information about the holder.
Mr Ahmed distanced himself from any role of his ministry and FIA in the ongoing probe into the sugar scandal, saying the matter was being handled by Special Assistant to the Prime Minister Mirza Shahzad Akbar.
“Let’s be very clear,” he said when asked about the growing tussle between the ruling Pakistan Tehreek-i-Insaf and its estranged leader Jahangir Khan Tareen who is allegedly involved in the sugar scandal. “I have nothing to do with the sugar scandal. Same is my stance for FIA. This sugar scandal and money laundering are subjects of Shahzad Akbar. He would be in a better position to answer that. But the case of Jahangir Tareen is very sensitive in my opinion.”
He claimed to have launched a reforms campaign in the FIA and held out the assurance that results would start emerging after one month.
“Just give me a month. I assure you that you would see things changing in FIA after Ramazan. This is my promise,” he said while referring to “pressure” on him from different quarters as a large number of government officers wanted their postings in the agency.
He said that under the leadership of Prime Minister Imran Khan a policy had been designed to promote tourism in the country and that the online visa service was being offered to the citizens of 192 countries.
“Under the same policy we have issued some 300,000 visas [during the last few months],” said the minister. “Only 12,000 applications were rejected. Every agency involved in clearance of applicants has been asked to give their report within a month. So within a month, the applicant is getting Pakistani visa.”
He avoided taking questions about politics, but cautiously commented on a few. However, he didn’t take a second to deny any impression of any threat to PM Khan and his government.
“This is absolute gossip and let me tell you that there’s no threat to Imran Khan,” said Mr Ahmed. “He’s going to complete his [five-year] term and would emerge as a very strong candidate for the next one. There’s peace everywhere for Imran Khan.”
He called the former president and co-chairman of the Pakistan Peoples Party (PPP), Asif Ali Zardari a “smart politician who keeps his cards close to his chest”.
“I appreciate the positive thinking of the PPP and who doesn’t know Asif Zardari,” he said. “He’s a smart player who always keeps his cards close his chest. The PML-N is proving itself self-destructive. They have taken the anti-military line for point scoring, but they don’t know that people are well aware of their past. They are the products of the GHQ and without the blessing of [military dictator] General Ziaul Haq, none of them could have become a counselor.”
--------------------------------------------------------
COURTESY DAWN NEWS
-------------
Friday, 9 April 2021
BUCHAREST, APR 9: Romanian officials plan to launch the first mobile COVID-19 vaccination centers this month in an effort to boost rural access to the vaccine. Valeriu Gheorghita, the coordinator of the national vaccination campaign, said that vaccination in such centers could start on April 20.
“On April 20, we want to start vaccinations at mobile
centers; about 20 mobile centers will be set up in a first stage, they will be
distributed nationwide, and will be coordinated by the County Committee for
Management and Coordination of Intervention in cooperation with military
hospitals because all these 20 centers operate with human resources from the
Ministry of Defense,” Gheoghita said in a press conference on Tuesday, April 6,
according to News.ro.
These mobile centers will go to rural localities where the population doesn’t have access to vaccination centers or family doctors, and will mainly use the single-dose Johnson & Johnson vaccine, Valeriu Gheorghita also explained.
According to Secretary of State for Health Andrei Baciu, Romania is set to receive more than 8.3 million COVID-19 vaccine doses in April and May, including the first batches of Johnson & Johnson vaccines, Digi24 reported. Currently, Romania uses the Pfizer, Moderna, and AstraZeneca vaccines.
“This week, we will receive 134,400 doses from Moderna and
110,564 doses from AstraZeneca. As for the vaccines produced by
Pfizer-BioNTech, we will receive 511,000 doses a week, from the information we
have for the next two weeks. 512,000 doses will arrive in the last week of
April, bringing the total to 2,046,330 doses at the end of April. For Moderna,
nothing has changed from the week before, we are talking about a minimum of
280,800 doses for April, and for AstraZeneca, 879,990,” Baciu said.
Romania kicked off the vaccination campaign on December 27.
By April 6, more than 2.15 million people received the vaccine: 897,857 got the
first dose, and over 1.25 million received both doses.
According to Valeriu Gheorghita, 780,000 people who want to receive the COVID-19 vaccine have signed up on waiting lists by Tuesday, April 6. Most of them are from Bucharest and the counties of Cluj and Prahova.
“At the moment, we have about 780,000 people on the waiting
lists. By category, about 60% are people belonging to the general population,
included in the third stage of the vaccination campaign, about 32% are people
belonging to the vulnerable category, people with chronic diseases, people over
65, people with disabilities, and about 7.5% are individuals working in key
areas,” Gheorghita said, according to News.ro.
By areas, more than 150,000 people on waiting lists are from Bucharest, almost 60,000 are from the county of Cluj, 37,000 are from Prahova county, over 29,000 are from Iasi county, and also over 29,000 are from Ilfov county, according to the data presented by Gheorghita.
-----------------------------------------------------------------
COURTESY romania-insider
----------------------
ISLAMABAD, APR 9: A meeting was held between Ismatullo Nasredin, Ambassador of the Republic of Tajikistan to Pakistan, and Khalid Taimur Akram, Executive Director, Center for Global & Strategic Studies (CGSS), Islamabad at the Embassy of the Republic of Tajikistan, Islamabad, on April 8.
During the meeting, matters of mutual interest were
discussed including initiatives to further expand cooperation among various
institutions of Tajikistan and CGSS.
It was agreed that academic collaboration and
people-to-people contact must be established and strengthened for enhanced
bilateral relations of both countries.
Ismatullo Nasredin acknowledged and appreciated CGSS’s efforts to strengthen Pakistan’s ties with Tajikistan and other Central Asian countries.
---------------------------------------------------------
COURTESY CGSS
-----------
ISLAMABAD, APR 9: A meeting was held between the Ambassador of United Arab Emirates to Pakistan, Hamad Obaid Ibrahim Salem Al-Zaabi, and Khalid Taimur Akram, Executive Director, Center for Global & Strategic Studies (CGSS), Islamabad, on April 8.
During the meeting, it was decided that CGSS will collaborate with various think tanks and institutions in the United Arab Emirates to enhance the bilateral ties of both countries.
It was agreed that CGSS and the Embassy of the United Arab
Emirates, Islamabad will work in the field of research, and
seminars/conferences will be arranged for cooperation.
As this year marks the 50th Anniversary of Pakistan and the United Arab Emirates of diplomatic ties, CGSS and the Embassy of the United Arab Emirates will jointly arrange various activities to celebrate this historic event.
-------------------------------------------------------
COURTESY CGSS
-----------
ISLAMABAD, APR 9: Pakistan has made a commitment with the International Monetary Fund (IMF) to increase FBR taxes by a massive Rs1.272 trillion (almost 2.8 per cent of GDP) in the coming budget and jack up electricity rates by almost Rs4.97 per unit in the remaining three months of the current fiscal year.
According to documents released by the IMF after approval by its executive board of directors of the modified extended fund facility (EFF), the government has also given an undertaking to continue making electricity tariff adjustments next year on monthly, quarterly and annual basis through “automaticity” of regulator Nepra’s amended powers.
The documents also suggest that the government would continue increasing petroleum levy on oil products to the maximum level (Rs30 per litre) this year and next year to collect about Rs510 billion this year instead of budgeted target of Rs450bn.
The petroleum levy target for the next year has been set at Rs607bn. The provinces have given an undertaking to provide Rs570bn cash surplus to the federal government and increase it to Rs729bn next year.
Government to raise electricity tariff by Rs4.97 per unit in remaining three months of current fiscal year
As such, the tax collection target for the Federal Board of Revenue in next year’s budget has been committed at Rs5.963tr against Rs4.691tr revised target for the current fiscal year. About Rs500bn will be additional tax generation through “general sales tax (GST) and a personal income tax reform with the FY2022 budget, yielding an estimated 1.1pc of GDP”.
Under the agreement, the government would also bring down the current year’s development programme to Rs1.169tr against budgeted target of Rs1.324tr.
The government has also given an undertaking to make adjustments in gas tariff and not to consider any tax exemption or tax amnesty in future. Also, the IMF made it part of the programme conditions to have detailed audit of the funds allocated for combating Covid-19, including contracts and beneficial ownership of bidding results, including medical supplies.
The IMF confirmed that Pakistan had completed a total of five prior-actions to revive the Fund programme, including Rs3.57 per unit increase in electricity tariff and submission of the SBP amendment bill to parliament to revive the EFF programme and secure disbursement of $500 million.
However, Finance Secretary Kamran Ali Afzal had told the National Assembly’s Standing Committee on Finance on Wednesday that the SBP amendment bill had not yet been submitted to parliament and resisted discussions on it unless it becomes a public document.
The IMF documents showed Pakistan also agreed to have a total of 11 new structural benchmarks, while another equal number of unmet previous structural benchmarks would remain in place for implementation under revised deadlines.
Speaking at a live briefing, IMF’s mission chief for Pakistan Ernesto Ramirez Rigo said that despite hard economic conditions amid Covid-19 steep adjustments in energy tariff were inevitable because the rising circular debt was a drain on public finance and a drag on economic growth. He agreed that these were unpleasant adjustments but solution lied in the combination of cost recoveries, loss reduction and system improvement.
He said the increase in revenues was also a hard choice along with control on unnecessary expenditures to spare fiscal space for social sector spending, including health and education. He said the removal of plenty of tax exemptions, including GST, was not easy with political economy but was necessary to continue to broaden the tax base.
Responding to a question about renegotiations on the Fund programme following recent statements by Prime Minister Imran Khan and Finance Minister Hammad Azhar, the IMF mission chief said the two sides had been in contact soon after the disbursement of $500m and it was an ongoing process as part of quarterly reviews.
However, he said the government had made no formal request for renegotiations. He said that while remaining within the programme objectives and design, the sequencing could always be discussed as it was not something written on stone. There could always have different approaches to achieve same results, he said.
The government confirmed that the cabinet had approved a timetable for the determined, but not yet notified electricity price adjustments. The timetable includes a two-staged implementation of the FY2021 annual rebasing, determined as Rs3.34 per unit increase in the base tariff.
The government will have to change subsidy policy that involved an expanded definition of the lifeline tariff through provision of average of previous 12 months’ consumption rather than the existing monthly consumption.
As part of the circular debt management plan, an embedded mechanism of automaticity of tariff adjustments in line with the plan’s declining path of accumulation of new arrears has been ensured, streamlining the process of power tariff adjustments to increase its predictability. “The new tariff adjustment plan, designed in consultation with our international partners, will consolidate tariff adjustments to significantly reduce the number of end-consumer tariff adjustments in FY2022 while delivering the required revenue for the system,” the finance ministry said.
In particular, the fuel price adjustment, the quarterly adjustment for capacity payments and the annual rebasing of tariff will continue to take place, but their timing will be adjusted to alleviate consumers from the impact of continued tariff adjustments.
The government has agreed to broaden and harmonise the GST base underpinned by a unified tax base and within the confines of the current constitution.
Notably, this will eliminate all zero-rated goods (Fifth Schedule), except export and capital machinery goods, and move them to the standard sales tax rate, remove reduced rates under the Eight Schedule and bring all those goods to the standard sales tax rate and eliminate exemptions (Sixth Schedule), excluding a small subset of goods (i.e. basic food, medicines, live animals for human consumption, education and health-related goods).
The government will also bring all others under the standard rate and remove the Ninth Schedule to replace a specific tax rate for cell phones with the standard rate. These reforms are expected to yield an estimated 0.7pc of GDP on an annualised basis.
On top, the government will reform personal income tax (PIT) regime to change the existing tax rate structure by reducing the number of rates and income tax brackets from 11 to five and decreasing the size of income slabs. It will also introduce special tax procedures for very small taxpayers, aimed at preventing further tax base erosion and facilitating formalisation of the economy and then adopt a long-term strategy to reduce labour informality and to bring additional taxpayers into the PIT net. This reform is expected to yield 0.4pc of GDP on an annualised basis.
---------------------------------------------------
COURTESY DAWN NEWS
--------------
Social Media
Search