Ministry of Finance (MoF) has directed Principal Accounting Officers (PAOs) to include adequate funds for outstanding payments to international agencies in the budget projections for the upcoming fiscal year to settle all pending dues.
It’s imperative to utilize a thorough basis while estimating the budget requirements for this purpose, emphasized the Ministry.
The Finance Ministry’s External Finance Wing, through an Office Memorandum dated March 8, 2024, referenced an earlier memo from January 8, 2024, titled “Payment of Pakistan’s Mandatory Contributions/Subscription to International Agencies.”
The memo highlights that a review of data from the previous years revealed instances where insufficient funds were allocated in budget estimates, leading to delays in meeting obligatory contributions/subscriptions deadlines. Consequently, arrears accumulated, and in some cases, late payment fees were imposed.
The Finance Ministry clarified that any additional funds necessitated via Technical Supplementary Grants must receive approval from the ECC. Furthermore, supplementary grants for unbudgeted amounts are not permitted under the IMF programme.
