Finance Division Under Fire for Missing Details on Rs3.3bn IMF Funds

The Finance Division came under scrutiny for failing to provide details of Rs3.3 billionn IMF budgetary funds, a lapse that immediately alarmed the Senate Standing Committee on Economic Affairs. The Committee said the missing information raises serious transparency concerns and undermines Parliament’s ability to exercise proper oversight.

Committee Chairman Senator Saifullah Abro pressed officials for a clear breakdown of the funds received under the International Monetary Fund’s budgetary support, but the Finance Division could not present satisfactory answers. Lawmakers noted that while broad figures are available, the absence of a complete audit trail and year-wise data has become a recurring issue. The Committee stressed that accurate information on the Rs3.3bn IMF funds is critical for monitoring repayments, interest obligations, and policy commitments.

The session began with members expressing concern over the absence of the Minister for Economic Affairs, Ahad Cheema, saying his participation was essential for effective coordination. Lawmakers then reviewed a matter referred by the Senate Chairman related to unspent funds for the renovation of Multan’s historic core. The project, approved at Rs850 million, had an unspent balance of Rs679 million that was redirected by the Management Committee without proper reporting. It was also revealed that Rs170 million had been spent solely on the feasibility report.

Committee Flags Mismanagement of Multan Renovation Funds

Members were informed that the project was later shifted from the federal executive to the provincial government. The Committee expressed surprise over the lack of proper utilization of allocated funds and directed the Economic Affairs Division to submit complete documentation, including approvals, revised PC-Is, fund utilization records, and the feasibility report. Lawmakers also instructed the EAD to invite senior officials from Punjab, including the Commissioner and Deputy Commissioner of Multan, to the next meeting.

The Committee continued deliberations on IMF-related data, seeking clarity on amounts received, disbursements, repayments, and year-wise interest payments. Senators Hidayatullah Khan and Syed Waqar Mehdi questioned whether IMF funds categorized as grants or balance of payments support were effectively used for structural reforms and whether utilization targets were met. Officials said targets exist but acknowledged systemic gaps in transparency and data accessibility.

It was further reported that as of 30 June 2025, Pakistan’s total external debt and liabilities amounted to around $126 billion, including $82.5 billion in external public debt and $43.5 billion in domestic liabilities. Senator Hidayatullah Khan reiterated the need for complete year-wise data on external debt and IMF liabilities for 2008, 2013, 2018, 2022, and 2024. The Chairman endorsed the proposal and directed the EAD to provide a comprehensive breakdown of external public debt, detailing project-wise allocations, creditor categories, and contracting years from 2008 to 2024.