Govt set to meet IMF mission to acquire $1bn for climate financing

Islamabad: The government has decided to negotiate with the international Monitory Find (IMF) for climate financing worth $1 billion.

According to reports, the global lender’s mission will review economic performance and budget targets achieved by the incumbent government after the Staff-Level Agreement materialised. The mission will also look into the ground realities before allocating funds for climate financing.

The government had assured the IMF to produce 60pc energy through alternative sources by 2030 which included 30pc from electric vehicles and banning imported coal for energy production. The government will deliberate on the National Clean Air Policy with the IMF.

According to sources, the IMF had agreed to the government’s proposal of spending 1pc of the Gross Domestic Product (GDP) on climate financing.

The talks will also include measures taken by the government under Green Mix Energy, Billion Tree Tsunami and National Adaptation Plan.

On the economic front, the IMF mission will review the tax targets achieved by the Federal Board of Revenue (FBR) and the Circular Debt Management Plan.

It must be noted that Federal Finance Minister Muhammad Aurangzeb had raised the issue of climate financing during his recent meetings held with the IMF and the World Bank (WB) where he had informed them about the annual loss to the tune of $2 billion accrued by Pakistan due to deteriorating climate and its harmful impact in the country.