ISLAMABAD:

Pakistan has informed the International Monetary Fund (IMF) that the power sector will bleed another Rs535 billion in losses during the current fiscal year – 35% higher than last year – due to inefficiencies and under-recovery of electricity bills, as it continues to resist an ambitious circular debt reduction target.

Bringing the flow of circular debt to zero may again remain a dream under the 25th IMF bailout programme, a target Pakistan had first committed to achieving over 12 years ago under the 22nd programme.

The Power Division informed the IMF that Rs505 billion may be added to the circular debt flow this fiscal year, although the global lender wanted it restricted to Rs200 billion, said sources.

According to official sources engaged in the ongoing discussions, Pakist

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