Budget talks with IMF successful: PM

PESHAWAR: Prime Minister Shehbaz Sharif on Tuesday said that negotiations with the International Monetary Fund (IMF) over the upcoming federal budget had been successful, calling it a step towards a new era of economic development for Pakistan.

Speaking to a group of journalists here, the prime minister said that his government had stabilised the economy, and the focus would now shift to sustainable growth. “We have achieved economic stability; now we must embark on the journey of economic development,” he said.

He also stated that no corruption scandals have emerged during the tenure of the current Pakistan Muslim League-Nawaz (PMLN) government. He expressed confidence in the government’s commitment to institutional reforms aimed at transforming Pakistan into a stable and competitive global economy.

The prime minister signaled openness to dialogue with India, offering talks on four key issues: Kashmir, water, trade, and terrorism. “Pakistan is ready to hold talks at any venue,” he said, suggesting that recent remarks by Indian Prime Minister Narendra Modi were likely driven by domestic political pressures.

Shehbaz said Pakistan had “settled the matter of 1971” through its military response, stating that the country had shot down six Indian aircraft, including four Rafale fighter jets.

He stated that the Pakistan Army delivered a strong and unforgettable message to India through its recent operation. He affirmed that the entire nation stood united in the face of any external threat.

He also emphasised the need for national consensus on the construction of water reservoirs, stressing that all provinces must work together to secure the country’s future water needs.

“Under the 1960 Indus Waters Treaty, every single drop of water is the right of the Pakistani people. Under the leadership of Field Marshal Syed Asim Munir, the Pakistan Armed Forces taught India a lesson it will never forget for eternity. If India dares to repeat any misadventure, they will be taught another lesson,” he said.

The prime minister added: “We have to make decisions regarding water to thwart India’s nefarious designs. We have numerous dams where we can store water, and we will make well-considered decisions.”

Earlier, addressing a jirga with regard to the issues being faced by Khyber Pakhtunkhwa, the prime minister said that Khyber Pakhtunkhwa had received Rs700 billion under various governments to support efforts in combating terrorism. Chief of Army Staff Field Marshal Syed Asim Munir, Governor Faisal Karim Kundi, Chief Minister Ali Amin Gandapur, federal ministers and tribal elders, elected members and others attended the jirga. The prime minister said that funds would be provided to Khyber Pakhtunkhwa until terrorism was uprooted while a committee would be formed regarding the share of the province in the National Finance Commission (NFC) award.

The premier said that a committee would be constituted to review all the issues taken up by the chief minister regarding the province.

He lauded the role of Khyber Pakhtunkhwa and said that its people rendered great sacrifices for the country. He said the first point of the 2010 NFC Award was to provide more resources to Khyber Pakhtunkhwa to fight terrorism which was decided after the National Action Plan in the wake of the APS attack.

He said that the provision of funds to the province as well as equipment, training and resources to police would continue until terrorism was uprooted.

Shehbaz said that he had told Ali Amin Gandapur that the federal government would look into the matters taken up by him. He announced that a committee would sit and talk with the chief minister, governor and elders of the province regarding all the issues. “Today, the entire nation stands united. We must make bold decisions for Pakistan’s progress and prosperity. We will bring together the leadership of all four provinces and sit together to deliberate,” he said. The prime minister visited the provincial capital along with members of the cabinet to attend the tribal Jirga. Chief Minister Ali Amin Gandapur, while speaking at the jirga extended felicitations to the entire nation for a befitting response to the Indian aggression and said that Pakistan Tehreek-e-Insaf founding chairman Imran Khan, despite being unjustly imprisoned, united the entire nation against Indian hostilities—proving himself a true leader.

Expressing his gratitude to Imran Khan and his supporters, Gandapur said their unwavering stand was instrumental in defending Pakistan. “We have demonstrated national unity above political differences for the sake of the country’s sovereignty and integrity,” he said.

The chief minister called on the federal government to avoid imposing taxes on the erstwhile Fata and Pata regions, arguing that the local population was not financially capable of bearing such burdens. “These areas have been severely affected by the war on terror and require significant investment,” he added.

Highlighting the sacrifices of people from merged districts, the chief minister urged the federal government to fulfill all promises made to them.

He demanded immediate release of compensation funds for displaced persons from these regions and called for an end to drone strikes in Khyber Pakhtunkhwa, citing civilian casualties. Gandapur demanded the immediate inclusion of the merged districts’ share in the National Finance Commission (NFC) Award. “We are not asking for another province’s share but demanding our rightful due,” he said. The chief minister urged the federal government to release all pending dues owed to Khyber Pakhtunkhwa, including net hydel profits and the province’s full share in the tobacco cess. “These are the rightful entitlements of our people,” he asserted.

He called for reinstatement of the traditional jirga system to sustainably resolve disputes in the merged districts. Gandapur demanded Khyber Pakhtunkhwa’s inclusion in peace talks with neighboring Afghanistan, warning that excluding the province would render the negotiations incomplete.