The sources privy to the development said that both the bills are being introduced in parliament for approval before the sixth review of the $6 billion Extended Fund Facility (EFF) by the International Monetary Fund’s (IMF) executive board on January 12.

The opposition parties have vowed to resist the government move to grant autonomy to the State Bank of Pakistan (SBP) aimed at targeting inflation rather than economic growth, calling it an agenda of the International Monetary Fund (IMF).

The IMF has demanded Pakistani authorities seek parliamentary approval for the passage of the Tax Laws (Fourth) Amendment Bill and SBP’s Autonomy Bill. Meanwhile, Prime Minister’s Adviser on Finance Shaukat Tarin reiterated Pakistan’s plan to fulfil the conditions imposed by IMF as prior action before the sixth review on January 12. He said a tax exemption of Rs350 billion will be withdrawn through the mini-budget.

The story was originally published in Business Recorder on December 27 2021.