Federal Finance Minister Shaukat Tarin Thursday said that Pakistan is due to receive $2.77 billion from the International Monetary Fund on August 23.

Addressing a press conference to announce the development, Tarin said that the funds will directly be sent to the State Bank of Pakistan.

Tarin said that the international money lender has released a total of $650 billion for various countries.

He said the figures are showing an improvement in the economy. Tarin said the IMF had given some conditions in March in which the IMF has asked the government to bring the power sector in line.

Tarin said the IMF has demanded to increase the power tariff to stop the ballooning circular debt but it would lead to inflation.

He said they want to adopt a strategy to achieve this goal without any further increase in inflation.

He said the IMF wanted us to increase the taxes. He said the government would instead increase the tax net and would enhance the tax net of the retail sector through the point of sale machines.

Tarin said they have asked the IMF for a two to three months timeframe and the discussions are still underway for the IMF programme.

The finance minister said they wanted to remain in the IMF programme as it would help establish economic discipline.  

He said the prime minister has promised him to make a senator and he would fulfil his promise.