It Can Cost More to Power a House Than Rent It in Pakistan
4 months, 1 week ago

It Can Cost More to Power a House Than Rent It in Pakistan

Live Mint  

-- Electricity bills have outpaced home rental rates for some people in Pakistan, as tariff increases and other reforms to comply with IMF loan conditions spark nationwide protests. The South Asian nation — where nearly half the population survives on less than $4 a day — has seen electricity prices surge 155% since 2021, after the government started hiking industrial and retail rates to bolster its chances of securing loans from the International Monetary Fund. Many residents have since seen electricity bills — typically a fraction of household expenses — surpass rents that range from $100 to $700 a month, said Samiullah Tariq, head of research at Pakistan Kuwait Investment Co. Pakistan and the IMF have agreed to restore energy sector viability as part of the bailout program, which includes cost cuts and privatization of state-owned power distribution companies.

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History of this topic

Pakistan’s reliance on Chinese-built power plants is strangling its economy
2 weeks, 6 days ago

Pakistan’s reliance on Chinese-built power plants is strangling its economy

Live Mint  

ISLAMABAD, Pakistan—When Muhammad Imtiaz received an electricity bill of over $120 last summer, he panicked. A decade ago, Pakistan, cripplingly short of power, turned to Beijing to build more than a dozen coal, solar and hydroelectric power plants as part of China’s huge infrastructure push in the country. Pakistan commissioned the Chinese power plants in 2015, yet it didn’t carry …

IMF reaches agreement with Pakistan on releasing last tranche of $3 billion bailout package
9 months ago

IMF reaches agreement with Pakistan on releasing last tranche of $3 billion bailout package

India TV News  

Washington: The International Monetary Fund on Wednesday announced that it has reached a staff-level agreement with cash-strapped Pakistan for the release of $1.1 billion tranche, the last of the $3 billion financial bailout package, as the global moneylender noted that Pakistan's inflation was above target and economic growth remained modest, reported the Express Tribune. “The IMF team has reached a …

Pakistan’s election: Can the next government bring economic stability?
10 months, 2 weeks ago

Pakistan’s election: Can the next government bring economic stability?

Al Jazeera  

There will be no honeymoon period for winners of this week’s pivotal 2024 polls as economic challenges loom large. As the country found itself at a precarious juncture, then-Prime Minister Shehbaz Sharif managed to secure a crucial bailout package from the International Monetary Fund – its 23rd fund programme since 1958 – just weeks before the government’s term expired. ‘Anti-populist’ …

‘How will I pay?’: Steep power bills, rising inflation hit Pakistan’s poor
1 year, 3 months ago

‘How will I pay?’: Steep power bills, rising inflation hit Pakistan’s poor

Al Jazeera  

Millions of Pakistanis say they have been forced to ration the use of fans and other essential electrical items since the rise in tariffs. The government has categorically said prices will not be lowered as the effects of tough economic decisions taken since the IMF bailout become devastating for Pakistan’s poor. ‘Forced to ration use of fan’ Burhan Anwar, a …

Pakistan gov’t says no relief in power bills as protests escalate
1 year, 3 months ago

Pakistan gov’t says no relief in power bills as protests escalate

Al Jazeera  

Islamabad, Pakistan – The government of Pakistan has expressed its helplessness to lawmakers in the face of inflated power costs, surging fuel prices and fast-rising inflation, as public resentment risks bubbling over with multiple protests across the country. Interim Finance Minister Shamshad Akhtar told members of Pakistan’s upper house of parliament on Wednesday that the country has no “fiscal space” …

Photos: Protests across Pakistan against high electricity bills
1 year, 3 months ago

Photos: Protests across Pakistan against high electricity bills

Al Jazeera  

Protests against high electricity bills in Pakistan have grown after the government refused to slash energy prices without a nod from the International Monetary Fund. A massive increase in the price of electricity triggered protests across major cities last week, with people burning utility bills, blocking highways and attacking power companies’ offices. Caretaker Prime Minister Anwaar-ul-Haq Kakar has promised relief, …

Pakistan govt approves massive hike in power tariff on IMF demand: Report
1 year, 5 months ago

Pakistan govt approves massive hike in power tariff on IMF demand: Report

Live Mint  

In Pakistan, the federal cabinet authorized a significant increase in the electricity base rate through a circulation summary in a late-night decision. The government has raised the basic power tariff by ₹3 for some customers and by ₹7.5 per unit for others, according to a report published by ARY News. The International Monetary Fund asked Pakistan to hike the power …

Pakistan facing "exceptionally high" economic risks, external debt to mount: IMF
1 year, 5 months ago

Pakistan facing "exceptionally high" economic risks, external debt to mount: IMF

India Today  

An assessment from the International Monetary Fund has said that Pakistan's economic challenges were complex and multifaceted and risks were exceptionally high, The Dawn reported. “Resolving Pakistan's structural challenges, including long-term BOP pressures, will require continued adjustment and creditor support beyond the current programme period,” the Fund said in a report. “A possible successor arrangement could help anchor the policy …

Cash-strapped Pakistan hikes petrol price by ₹10 per litre
1 year, 8 months ago

Cash-strapped Pakistan hikes petrol price by ₹10 per litre

The Hindu  

Cash-strapped Pakistan has hiked petrol price by Rs. Finance Minister Ishaq Dar announced the hike in a late-night live address, during which he said the prices of diesel and light diesel oil would remain unchanged at Rs. Debt-ridden Pakistan and the International Monetary Fund have failed to reach a staff-level agreement on the much-needed $1.1 billion bailout package aimed at …

Pakistan minister announces subsidy plan amid crisis: 'Taking money from rich, giving it to poor'
1 year, 8 months ago

Pakistan minister announces subsidy plan amid crisis: 'Taking money from rich, giving it to poor'

Hindustan Times  

Pakistan’s Finance Minister Ishaq Dar said plans to implement fuel subsidies have been shared with the International Monetary Fund to help alleviate the lender’s concerns before it revives a stalled $6.5 billion bailout. Read here: Pakistan inflation skyrockets to 47%, wheat and eggs are more expensive: Report “It’s basically about taking money from rich Pakistanis and giving it to poor …

IMF says Pakistan must complete 'few remaining points' to get $6.5 bn loan
1 year, 9 months ago

IMF says Pakistan must complete 'few remaining points' to get $6.5 bn loan

Hindustan Times  

The International Monetary Fund said Pakistan has a few more tasks before it can unlock a $6.5 billion loan to avoid a default, putting pressure on the government to secure assurances from countries that have promised financing support. “A staff-level agreement will follow once the few remaining points are closed,” said Esther Perez Ruiz, the IMF’s resident representative for Pakistan. …

Petrol prices again up in Pak as currency depreciates amid economic crisis
1 year, 9 months ago

Petrol prices again up in Pak as currency depreciates amid economic crisis

Live Mint  

Amid the ongoing economic crisis, petroleum prices in Pakistan have again increased as the country's currency depreciates. Experts had earlier said that petrol prices would go up for another fortnight, that is, 16 March to 31 March, owing to significant depreciation in local currency. Take a look at the new prices below: Product Previous price New price MS 267.00 272.00 …

Pakistan in more trouble as IMF imposes new condition for financial bailout
1 year, 9 months ago

Pakistan in more trouble as IMF imposes new condition for financial bailout

Firstpost  

In its quest for the IMF bailout, the Pakistan government has come up with several measures. Pakistan’s finance ministry had also informed that the Industrial and Commercial Bank of China Ltd is set to forward a loan of $1.3 billion Islamabad: The already crisis-hit Pakistan economy is in for more problems as the International Monetary Fund has imposed yet another …

The fall and fall of Pakistan
1 year, 9 months ago

The fall and fall of Pakistan

New Indian Express  

How it all came tumbling down 1958-68: General Ayub’s non-liberal policies of the capitalist model increases income inequality 1970s: During Zulfiqar Ali Bhutto’s reign, there was a recession in exports, the partition of East Pakistan, the floods of 1974 and locust attacks. His nationalisation policies became the major reason for the loss of industrial units and private investment 1998: Pakistan …

’We are not beggars’, Pak official says IMF making it tough to give loan
1 year, 9 months ago

’We are not beggars’, Pak official says IMF making it tough to give loan

Live Mint  

Pakistan and the International Monetary Fund are locked in a debate over an unfinished loan program required for the ongoing economic crisis. A senior official even said, “We are members of the IMF, not beggars, or else our membership be discarded.” “The IMF wanted to support the poor, but what measures it had been insisting us to impose would ultimately …

High taxes, cost-cutting formula: How Pakistan is dealing with economic crisis?
1 year, 9 months ago

High taxes, cost-cutting formula: How Pakistan is dealing with economic crisis?

Live Mint  

Pakistan has been spiraling into a deep economic crisis as the country's rupee is falling down, fuel prices shooting up, and taxes on luxury goods rising. Pakistan's cost-cutting formula Pakistan Prime Minister Shehbaz Sharif has asked his ministers and advisers to fly economy class, forgo luxury cars and their salaries as part of an austerity drive that will save the …

Pakistan taxing its citizens for IMF deal: 7% surge in tax, luxury goods costly
1 year, 10 months ago

Pakistan taxing its citizens for IMF deal: 7% surge in tax, luxury goods costly

Live Mint  

Pakistan is facing an imminent economic meltdown with the country modifying its policies according to the conditions laid down by the International Monetary Fund, in an effort to unlock the tranche of a $6.5 billion loan facility to overcome the financial crisis. Kristalina Georgieva, IMF Managing Director has also emphasized two things that can help Pakistan get away from economic …

Pakistan economic crisis: Many firms closed, inflation high, forex reserve falls
1 year, 10 months ago

Pakistan economic crisis: Many firms closed, inflation high, forex reserve falls

Live Mint  

Pakistan economic crisis: Several biggest companies in the crisis-hit country have halted operations as they ran out of raw materials or foreign exchange which has compounded the troubles of an economy that's trying to avert a debt default, as per Bloomberg reports. Ghandhara Tyre & Rubber Company, which manufactures tires and tubes for automobiles, shut its plant on February 13, …

Pak Minister admits country’s ‘bankruptcy’, says solution doesn’t lie with IMF
1 year, 10 months ago

Pak Minister admits country’s ‘bankruptcy’, says solution doesn’t lie with IMF

Live Mint  

Pakistan has been struggling with a huge economic crisis with milk prices surging to ₹250 per litre, and chicken prices have shot up to ₹780 per kilograms. He said that the solution to the country's economic problem lies within Pakistan, not with the International Monetary Fund which has not announced any assistance package so far, according to Samaa TV reports. …

Are Pakistan-IMF loan talks back on track? Here's why deal may take a while
1 year, 10 months ago

Are Pakistan-IMF loan talks back on track? Here's why deal may take a while

Hindustan Times  

Pakistan and the International Monetary Fund pledged to continue loan negotiations despite both reaching a deal amid deep economic crisis in the country. “The timely and decisive implementation of these policies along with resolute financial support from official partners are critical for Pakistan to successfully regain macroeconomic stability and advance its sustainable development,” IMF said in a statement. Pakistan, on …

Pakistan government approves new tax on electricity to meet IMF conditions
1 year, 10 months ago

Pakistan government approves new tax on electricity to meet IMF conditions

The Hindu  

Pakistan is moving swiftly to pacify the IMF with the approval of a new tax on electricity users, including farmers, to raise an additional Rs 170 billion in revenue to meet the conditions of the global lender, according to a statement. Hours later, the Minister chaired the meeting of the Economic Coordination Committee of the cabinet which approved the imposition …

Pakistan to impose taxes worth Rs 170 billion to meet IMF conditions
1 year, 10 months ago

Pakistan to impose taxes worth Rs 170 billion to meet IMF conditions

India TV News  

Pakistani government approved the imposition of new taxes on electricity to raise an additional Rs 170 billion in revenue in order to meet the conditions set by International Monetary Fund, according to a statement. The meeting approved an overarching Revised Circular Debt Reduction Plan worth Rs 952 billion for the current fiscal year that would also involve an additional budget …

‘Beyond imagination’: Pakistan PM warns of IMF bailout conditions
1 year, 10 months ago

‘Beyond imagination’: Pakistan PM warns of IMF bailout conditions

Al Jazeera  

An IMF delegation is in Pakistan for last ditch talks to revive financial aid, which has stalled for months. Pakistan’s Prime Minister Shehbaz Sharif has said that the government will have to agree to International Monetary Fund bailout conditions that are “beyond imagination”. Sharif’s comments on Friday came after an IMF delegation landed in Pakistan this week for last-ditch talks …

Pakistan crisis: Can the country be saved from collapse?
1 year, 10 months ago

Pakistan crisis: Can the country be saved from collapse?

Firstpost  

Pakistan’s dire economic situation just keeps getting worse with reports of a double-whammy from the IMF and its forex reserves dropping even lower. On Thursday, Islamabad received a double whammy from the International Monetary Fund – which not only predicted a slowdown in the Gross Domestic Product from 3.5 per cent to two per cent for the current fiscal, but …

IMF rejects Pakistan's debt management plan, seeks raise in electricity tariff
1 year, 10 months ago

IMF rejects Pakistan's debt management plan, seeks raise in electricity tariff

India Today  

The International Monetary Fund on Thursday rejected Pakistan government's circular debt management plan and asked the authorities to raise the electricity tariff by Rs 12.50 per unit as talks begin on a potential bail out. The newly developed debt management plan seeks to restrict losses of power distribution companies to 16.27% on average during the current fiscal year, Geo News …

Pakistan faces more hardship as govt takes tough measures to secure IMF loan
1 year, 10 months ago

Pakistan faces more hardship as govt takes tough measures to secure IMF loan

Firstpost  

Islamabad: With Pakistan going through a severe economic crisis, the government has move to take several harsh decisions in order to secure the $6.5 billion bailout program from the International Monetary Fund. Bloomberg quoted the foreign-exchange desk at AKD Securities Ltd as saying that the Pakistani rupee saw a further decline on Monday, falling to as low as 270 per …

Mint Explainer: Pakistan's power crisis has echoes elsewhere
1 year, 10 months ago

Mint Explainer: Pakistan's power crisis has echoes elsewhere

Live Mint  

The recent blackout across Pakistan is a reminder of the enormous energy crisis confronting Islamabad. A fast-growing India too can’t afford to be complacent, as the acute power shortage in April last year demonstrated, more so as it competes with coal and natural-gas rich Asean countries like Vietnam and Indonesia to gain from China’s decline and emerge as a manufacturing …

Ready to assist Pakistan address its power woes: U.S. spokesperson Ned Price
1 year, 10 months ago

Ready to assist Pakistan address its power woes: U.S. spokesperson Ned Price

The Hindu  

The U.S. is ready to assist Pakistan in resolving its electricity woes, a top official in the Joe Biden administration has said, hours after the South Asian country faced a nationwide power breakdown due to a "frequency variation" in the national grid. According to the Ministry of Energy, the system of frequency of the national grid went down at 7.34 …

Ready to assist Pakistan address its power woes, says US
1 year, 10 months ago

Ready to assist Pakistan address its power woes, says US

Firstpost  

Washington: The US is ready to assist Pakistan in resolving its electricity woes, a top official in the Biden administration has said, hours after the South Asian country faced a nationwide power breakdown due to a “frequency variation” in the national grid. According to the Ministry of Energy, the system of frequency of the national grid went down at 7:34 …

Power fully restored in Pakistan day after outage, says minister
1 year, 11 months ago

Power fully restored in Pakistan day after outage, says minister

Al Jazeera  

Energy ministry says national power grid restored nearly 24 hours after a breakdown triggered the worst outage in months. Islamabad, Pakistan – Power has been completely restored in Pakistan, says its energy minister, a day after it suffered its worst outage in months. “All 1,112 grid stations restored within 24 hours,” Khurram Dastgir Khan told reporters on Tuesday. Energy minister …

Pakistan begins restoring power after grid breakdown triggers worst electricity outage in months
1 year, 11 months ago

Pakistan begins restoring power after grid breakdown triggers worst electricity outage in months

India Today  

Pakistan's government began restoring power to millions of people on Monday after a breakdown in the grid triggered the worst electricity outage in months and highlighted the weak infrastructure of the heavily indebted nation. As evening drew on and homes were without electricity in the dark, Energy Minister Khurram Dastgir wrote on Twitter that authorities had started restoring power across …

Lights out in Pakistan as energy-saving move backfires
1 year, 11 months ago

Lights out in Pakistan as energy-saving move backfires

Associated Press  

ISLAMABAD — Most of Pakistan was left without power Monday as an energy-saving measure by the government backfired. Many major cities, including the capital of Islamabad, and remote towns and villages across Pakistan were without electricity for more than 12 hours. Energy Minister Khurram Dastgir told local media that engineers were working to restore power across the country and tried …

First no food, now no power in Pakistan: The country’s worsening situation explained
1 year, 11 months ago

First no food, now no power in Pakistan: The country’s worsening situation explained

Firstpost  

The situation in Pakistan is worrying. ابتدائی اطلاعات کے مطابق آج صبح 7:34 پر نیشنل گرڈ کی سسٹم فریکوئنسی کم ہوئ جس سے بجلی کے نظام میں وسیع بریک ڈاؤن ہوا سسٹم کی بحالی پر کام تیزی سےجاری ہے — Ministry of Energy-Power Division, Government of P January 23, 2023 According to Power Minister Khurrum Dastagir, the grid failure followed …

Pakistan suffers major power outage after grid failure
1 year, 11 months ago

Pakistan suffers major power outage after grid failure

The Hindu  

Pakistan faced a major power breakdown on January 23 due to a "frequency variation" in the national grid, leaving millions of people in large parts of the country, including capital Islamabad and financial hub Karachi, without electricity. Explaining the failure, he said the authorities shut the power generation system at night due to lower demand in winter to save fuel …

Pakistan hit by nationwide power outage after grid failure
1 year, 11 months ago

Pakistan hit by nationwide power outage after grid failure

Al Jazeera  

Businesses and hospitals suffer as officials refuse to comment on when electricity will be fully restored. Islamabad, Pakistan – Pakistan has suffered a nationwide power outage due to a technical fault that left large swaths of the country, including the capital Islamabad, without electricity. “Thankfully, the distribution system has not been affected, but we still need power to switch on …

Massive power outage in Pakistan, metro services hit in Lahore | 5 points
1 year, 11 months ago

Massive power outage in Pakistan, metro services hit in Lahore | 5 points

India Today  

Pakistan, which is facing an alarming financial crisis, suffered a massive country-wide power outage following a breakdown in its national electricity grid on Monday morning. سسٹ٠Úéی ØèØ­ØçÙÄی Ù¾Øñ ÚéØç٠تیزی سےجØçØñی ہے — Ministry of Energy January 23, 2023 Major cities such as Karachi, Islamabad, Lahore, Peshawar and several areas of Balochistan were affected. وØçØñسÚé سے ÚïØñڈ سٹیØôÙÆوں Úéی …

Twitter lights up with memes as Pakistan suffers major power outage. Best ones
1 year, 11 months ago

Twitter lights up with memes as Pakistan suffers major power outage. Best ones

India Today  

Pakistan faced major power disruption on Monday after the national grid suffered a breakdown. According to a report by Reuters, Power Minister Khurrum Dastagir informed that the disruption was caused by a large voltage surge in the south of the grid. Take a look at some of the hilarious posts we compiled for you: "Generators are too far from the …

Electricity becomes almost unaffordable in Pakistan as govt hikes rates again
1 year, 11 months ago

Electricity becomes almost unaffordable in Pakistan as govt hikes rates again

Firstpost  

Islamabad: Pakistan is facing a severe economic crisis these days. Pakistan’s National Electric Power Regulatory Authority has increased electricity rates by Rs 3.30 per unit. The National Electric Power Regulatory Authority of Pakistan said that it has adjusted the K-Electric tariff under the Uniform Tariff Policy. The power division also said that KE is providing electricity at Rs 43 per …

World Bank cuts Pakistan’s GDP growth projection to 2 percent
1 year, 11 months ago

World Bank cuts Pakistan’s GDP growth projection to 2 percent

Al Jazeera  

Islamabad, Pakistan – Predicting a difficult year ahead for Pakistan, the World Bank has revised the country’s growth projections from 4 percent in June last year to 2 percent for the current fiscal year, citing “precarious economic situation, low foreign exchange reserves and large fiscal and current account deficits” among the primary reasons. The bank, in its Global Economic Prospects …

Explained | Will shutting markets fix Pakistan’s economy?
1 year, 11 months ago

Explained | Will shutting markets fix Pakistan’s economy?

The Hindu  

The story so far: In the face of an unrelenting financial crisis and dwindling foreign exchange reserves, the Pakistani government has come up with measures to save energy and reduce its energy bill. In the year gone by, the country’s foreign exchange reserves dwindled to a little over $9 billion, the rough equivalent of the country being able to pay …

Pakistan planning to reduce timings of markets and wedding halls to reduce electricity consumption in the country
1 year, 11 months ago

Pakistan planning to reduce timings of markets and wedding halls to reduce electricity consumption in the country

Op India  

The Pakistan government on Tuesday announced plans to reduce energy consumption nationwide whereby it proposes to close markets by 8:30 pm and wedding halls by 10 pm, in view of the rising circular debt in the energy sector. “The plan will change the overall lifestyle and habit pattern of the nation and save us Pkr 60 billion,” Pakistan Defence Minister …

Power crisis: Pakistan plans to shut markets by 8 pm, put curbs on weddings
2 years ago

Power crisis: Pakistan plans to shut markets by 8 pm, put curbs on weddings

Firstpost  

Pakistan is in the midst of an acute energy crisis, high inflation and depleting remittances. The ongoing Russia-Ukraine war and the catastrophic floods in June have only compounded the country’s energy woes Islamabad: Markets and restaurants across Pakistan will have to pull down their shutters by 8 pm while wedding halls will be limited till 10 pm, as the cash-strapped …

Pakistan Economy is Drowning But Not Because of Floods - News18
2 years, 3 months ago

Pakistan Economy is Drowning But Not Because of Floods - News18

News 18  

On 29 August 2022, the International Monetary Fund executive board gave its nod for restoring the Enhanced Fund Facility for Pakistan. Worse, the IMF programme has at best given a breather and isn’t a panacea for the deep structural problems that have made the Pakistan economy unsustainable, even unviable. If hostility with India has forced ruinous defence spending on Pakistan, …

Pakistan steeply hikes petroleum prices under deal with IMF to revive bailout programme
2 years, 5 months ago

Pakistan steeply hikes petroleum prices under deal with IMF to revive bailout programme

The Hindu  

The Pakistan government has steeply hiked petroleum prices to implement the tough preconditions set by the International Monetary Fund to revive the stalled $6 billion bailout package for the cash-strapped country. Finance Minister Miftah Ismail told the media that the petroleum levy was imposed to revive the IMF programme suspended four months ago after the previous government led by Imran …

Explained: After political upheaval, why Pakistan is facing an energy crisis
2 years, 8 months ago

Explained: After political upheaval, why Pakistan is facing an energy crisis

Firstpost  

Pakistan has been forced to implement hours-long load shedding that has hit homes and industries. Twenty-seven power plants are out of order owing to fuel shortages or technical problems Is Pakistan going the Sri Lanka way? The Dawn reported on 15 April that the ministry of energy had informed Shehbaz Sharif that nine major power plants with a generation capacity …

Cash-strapped Pakistan cuts power to households on fuel shortage
2 years, 8 months ago

Cash-strapped Pakistan cuts power to households on fuel shortage

Live Mint  

Pakistan is cutting electricity to households and industry as the cash-strapped country can no longer afford to buy coal or natural gas from overseas to fuel its power plants. The South Asian nation is struggling to procure fuel from the spot market after prices of liquefied natural gas and coal surged to records last month as the war in Ukraine …

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