Pakistan to get $2bn aid package



Saturday, August 30, 2008
By Aftab Maken

ISLAMABAD: Federal Finance Minister Syed Naveed Qamar has said Pakistan will soon receive a $2 billion aid package, from both the World Bank and Asian Development Bank.

Talking to journalists after inaugurating the e-Services project of the Securities and Exchange Commission of Pakistan (SECP) on Friday, the finance minister said that it is impossible for the government to slash petroleum products’ prices as it is already subsidising diesel by Rs18 per litre.

About the much talked about Saudi Oil Facility (SOF), Qamar said, “We are waiting for the kingdom’s response to the facility.”

The government, after taking the office, took bitter decisions to meet the economic challenges and the donors and other agencies have appreciated its endeavours to keep the budget deficit within target.

According to a press statement, the minister said that the reforms introduced by the SECP have given confidence to the corporate sector, which would bring more transparency and efficiency in the system.

The statement further said that the purpose of introducing this system is clear; it aims to improve the efficiency and effectiveness of the business processes of the SECP, create a speedy and transparent paperless environment which will make it easier and clearer for companies and the business community to interact with and obtain information from the SECP electronically, in a very short time.

In his welcome address, SECP Chairman Razi-ur-Rahman Khan discussed in detail how eServices would facilitate the corporate sector and improve the efficiency of SECP’s business processes. He said that through the eServices project, SECP provides a secure environment to the companies for the filing of returns, electronically. The use of digital signatures would help companies ensure the security and confidentiality of their data.

Earlier, ADB delegation led by Juan Miranda, Director General of the bank met Syed Naveed Qamar, Finance Minister at his office here today and discussed the over all macro economic policy environment in the South Asian region generally, and Pakistan more specifically, says an official statement issued here on Friday.

The Finance Minister stated that MOF and SBP are working in tandem to initiate and implement all difficult and urgently needed measures to attain the targeted economic and fiscal goals.

Expenditure controls and rationalisation of monetary spending in the public sector is underway, the statement added.

Qamar appreciated ADB’s role regarding its commitment for providing $500 million for accelerating the economic transformation that enables the new government to regroup recent economic initiatives.

Both the sides also discussed GOP’s commitments to structural reforms, which would contribute to the economic revival of the country.

http://thenews.jang.com.pk/daily_detail.asp?id=132696

Is this aid or a loan?

KNowing the WB, this is most probably a loan with conditions including the money is not to be spent on building infra structure.

WB (which is influenced heavily by USA) refused financing of our major water reservoir project (Daimer Basha dam). The loan on their own conditions, must be for paying our politicians to elect Zardari !!

The title is WRONG...it's a LOAN NOT AID..............!!!!!!!!!!!!!

Pakistan will drop 2 notches for every penny of aid/loan/grant this govt takes.