IMF ‘amenable to idea of prolonged caretaker setup’

ISLAMABAD: In a significant development that would help address Pakistan’s economic worries in the months to come, the International Monetary Fund (IMF) is likely to work with a prolonged caretaker setup in the country to complete its ongoing Standby Arrangement programme.

“The IMF has shown its willingness to work with a prolonged caretaker setup for the completion of the ongoing $3 billion Standby Arrangement (SBA) programme, which is going to expire in March or early April 2024,” top official sources confirmed while talking to The News here on Wednesday.The sources further confirmed in background discussions that Islamabad had also taken the IMF into confidence over the possibility of extending the tenure of the caretaker setup after the Council of Common Interests approval for the 7th Population and Housing Census held in 2023, notified through an official gazette.

The Election Commission of Pakistan requires four months for undertaking the delimitation exercise and two more months are needed to complete the elections process, so the next elections might not be held in 2023. There is a possibility of holding the elections in the first quarter (January-March) of 2024.

After getting endorsement from the IMF, now the selection process in key ministries, including the finance ministry, is underway, and top contenders are Sultan Allana, a banker, Dr Ashfaque Hassan Khan, former special secretary to the finance ministry, and Tariq Bajwa, outgoing special assistant to PM on finance and revenues and former governor of the State Bank of Pakistan.

With the strong possibility of Jalil Abbas Jilani becoming the country’s caretaker prime minister, different names are under consideration for the upcoming minister for finance and revenues, including Sultan Allana, Shabbar Zaidi, Tariq Bajwa and Dr Ashfaque Hasan Khan.

For other key economic ministries, including the Economic Affairs Division, commerce, industries, agriculture, privatisation and Board of Investment, some more names, including those of Muhammad Mian Soomro and Ijaz Gohar, are being considered by the top functionaries.

When this scribe contacted former FBR chairman Shabbar Zaidi on Wednesday night, he said he was not interested to get any position in the interim setup because of personal reasons. He said he could not move out of Karachi.

One top official said that if caretaker premier would be Jalil Abbas Jilani, then there is strong possibility of Sultan Allana being made minister for finance or given any other key economic ministry. Dr Ashfaque Hasan Khan will also be considered as a candidate for any key position.

In case of Dr Abdul Hafeez Shaikh becoming the caretaker premier, the chances of Sultan Allana and Dr Ashfaque Hasan Khan would evaporate.

It is the desire of the outgoing minister for finance, Ishaq Dar, that a key member of his team should clinch the top position in the finance ministry.

In the absence of Dar, Tariq Bajwa will be the first choice, but the ultimate decision will be firmed up only after the appointment of the top man to the PM’s office.