Cabinet absence delays key economic decisions

ISLAMABAD: The absence of a federal cabinet has led to a delay in crucial economic decision-making processes, with approval for significant summits pending, ARY News reported on Sunday.

Despite being elected as Prime Minister of Pakistan a week ago, the formation of a federal cabinet is still pending, leading to a delay in approving crucial summaries.

Sources revealed that, after the establishment of the federal cabinet, critical economic decisions and approval of summaries will be made.

Sources also revealed that the International Monetary Fund (IMF) has placed conditions on sending a team, tying it to the formation of the federal cabinet.

Once the federal cabinet is in place, the IMF will dispatch a team for negotiations with Pakistan regarding financial matters.

A day before this development, PM Shehbaz Sharif consulted with his elder brother Nawaz Sharif and finalised names for the federal cabinet, with Ishaq Dar dropping out of the race to become finance minister, citing sources.

Sources told ARY News that Ishaq Dar, a close Sharif family associate and four-time finance minister, will be handed over the portfolio of foreign minister.

However, the ruling party is yet to finalize its finance minister, the person who has to lead an immediate effort to negotiate a new International Monetary Fund (IMF) bailout. Pakistan has a narrow path to recovery and the current IMF agreement expires on April 11.

According to sources, renowned bankers Muhammad Aurangzeb Khan and Shamshad Akhtar are likely to become the advisers to prime minister on finance and revenue.

Akhtar has been a key part of the recent caretaker government that has been praised by the IMF for “decisive policy efforts” to maintain stability.

Furthermore, sources claimed that Khawaja Muhammad Asif will retain the charge of the defense ministry. Ahsan Iqbal is in line for planning minister, Ataullah Tarar for information minister, and Musadik Malik for energy ministry.

Meanwhile, Jalil Abbas Jilani and Tariq Fatemi will become advisers and special assistants on foreign affairs, respectively. Former Punjab chief minister Mohsin Naqvi will be appointed as an adviser on the interior ministry.