IMF for linking SBP autonomy with performance

ISLAMABAD: The IMF has asked Pakistani authorities to link autonomy of the State Bank of Pakistan (SBP) with accountability and performance. The tenure of SBP Governor must be delinked from political cycle as it can be extended from term of three years to five, six or seven years depending upon the choice of the government.

One key recommendation coming from IMF might link last three years in tenure of SBP Governor with his performance of first three years in office. How the performance will be evaluated if there is no specific and well- designed targets, the sources questioned. Under the IMF structural benchmark condition, the PTI government will have to table amendments into SBP Act by end of December 2019 before the Parliament.