IMF: Steel More From Your Drowning Masses
...IMF had made it very clear that further talks on macroeconomic review and the release of remaining $2.6 billion could be held only after the government introduced reformed GST or VAT next month, as announced earlier[squeeze more blood and on a daily basis].
Pakistani officials were also told that the IMF executive board would not be interested in considering Pakistan’s request for more funds unless it made tangible progress on power sector reforms[raise already unfairly high power tariff], introduced changes in the SBP Act to give it more autonomy[give us SBP control] and resolved the emergence of a fresh circular debt arising out of commodity operations[pay the thiefs their money]....
murda ghosht khor Govt .
chee chee chee .
Total mismanagement of this corrupt inept government is now magnifying. This govt took record number of loans in just 2 1/2 years. It cannot increase tax to GDP ratio (spending 1 rupee and collection 50 paisa). The result is obvious.
What IMF is saying is raise money (thru taxes) to justify getting loans or in other words dont spend more than u can earn.
The real problem is that ppl in Pakistan dont pay income taxes due to 1) being greedy 2) not trusting the govt. This results in higher taxes on services (electricity/ petrol / sui gas) which affects the masses.
I propose that there should be a heavy tax 500% on luxury cars and items (Large screen LCD TVs, Big non commercial generators etc). Also ppl should not be allowed to buy these luxury cars unless they have proof of income tax payment.
Khanseena, good idea about not being able to buy big ticket luxury items without a proof of income tax payment. Can you imagine Gilani's son being turned back trying to buy a Bentley because all he can show is a pay stub from McDonalds?
Anyway, the solutions to Pakistani's economic problems are understood by kids in the 6th grade. If you want to have a better living you gotta earn more. Why it takes this gov't so long to implement the obvious steps? Actually not only this gov't, every gov't in the past.
Unfortunately these measures are unpopular and do place an unfair burden on the poor. The rich get richer by corruption and not paying taxes, poor get poorer by services taxes and middle classes aspire to become the rich class by acquiring their bad habits.