Energy Secretary Cites IMF Pressure as Cause of Electricity Price Surge

In a candid discussion with a parliamentary committee, Pakistan’s Energy Secretary revealed that the recent surge in electricity prices is largely due to pressure from the International Monetary Fund (IMF). The bureaucrat explained that the government is being compelled to collect the interest on revolving loans from the public to meet IMF’s stringent conditions.

“We are under significant pressure from the IMF, and the payments made to Independent Power Producers (IPPs) will inevitably be passed on to the consumers,” the Energy Secretary said during the briefing. He stressed that while Pakistan has made efforts to present its local economic narrative to the IMF, the international body has remained unyielding.

The Energy Secretary’s remarks underscore the complex challenges Pakistan faces in balancing international financial obligations with domestic economic stability. The increased power tariffs have sparked widespread concern among the public, who are now bearing the brunt of these financial pressures. As the situation unfolds, the government’s handling of this issue will be closely watched, particularly in light of ongoing negotiations with the IMF.