Pakistan has agreed to the International Monetary Fund’s (IMF) demands to update project selection and raise climate change weighting criteria by August of next year, with a carbon fee that would be announced in the next budget. Pakistan has agreed to the IMF’s demand that all new infrastructure projects costing more than Rs7.5 billion should have their Planning Commission (PC-1) paperwork posted on the PC website.
The government will enhance project appraisals and climate screening assessments to prioritise the infrastructure having most impact, the top official sources said. The official said Pakistan and the global lender have decided to extend the federal government’s budget tagging system to include grant and subsidy spending. They will also use the same process to tag provincial government spending, the official added.
