ISLAMABAD: The dialogues between Pakistan and International Monetary Fund (IMF) are going to start today.

According to sources, official meetings have already been held by a delegation led by Finance Secretary Hamed Yaqoob Sheikh, after which strategies will be discussed between Pakistan and the IMF.

Sources said that Hamed Yaqoob and acting governor SBP Dr Murtaza Syed would also partake today. There is pressure on Pakistan in the energy sector to end subsidies and increase the policy rate by at least one percent.

However, Pakistan is also under pressure to sell two state-owned power plants, including the privatization of loss-making state-owned enterprises, as soon as possible. The sources further added that Pakistan would also have to brief the IMF on its budget priorities for the next financial year while the policy talks would be completed by May 25.

Sources added that in case of success, a joint declaration will be issued while Pakistan has proposed to extend the loan program for one more year. The Ministry of Finance, Pakistan has requested to increase the loan amount from six to eight billion dollars and if the negotiations are successful, the mission may recommend the release of a one billion dollar installment.

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