Sindh set to launch fiscal framework, debt management legislation

Karachi,
February 01, 2019 (PPI-OT): The Sindh government is set to launch World
Bank-supported Medium Term Fiscal Framework (MTFF) and Fiscal Responsibility
and Debt Management legislation FRDML). In this regard, Sindh chief Minister
Syed Murad Ali Shah presided over a joint meeting of World Bank experts and
Finance department team. The World Bank was represented by Economist Ms Mehwish
Ashraf, Led Economics Fernando Blanco, Consultant Ariel Melamud while Finance
department five-member team was led by Secretary Finance Najam Shah.

Chief
Minister Syed Murad Ali Shah said that the objective to strengthen Sindh’s
fiscal planning through preparation of medium term fiscal framework (MTFF) that
was also expected to support budget preparation and improve resource
allocation. He added that the adoption of fiscal responsibility and debt
management legislation would enhance credibility and predictability of the
fiscal policy.

The
World Bank Economists said, MTFF was an instrument for fiscal planning which
would facilitate a more effective resource allocation and it is a tool that
integrates policy of objectives with public resources allocation decisions
under a multi-year framework.

Secretary
Finance Najam Shah said that MTFF would improve the consistency of resource
availability, expenditure needs, resource allocation and medium term fiscal
restrictions. He added that the finance department under the guidelines of the
chief minister have prepared a framework in consultation with the World Bank
experts.

Secretary
finance told the chief minister that his team was examining the existing rules
and would suggest necessary legislation to launch MFF and fiscal responsibility
and debt management. The chief minister said that his objective was is
introduce fiscal policy under which non-development expenditures could be
controlled by creating more fiscal space for social sector.

For more information, contact:

Press Secretary,

Chief Minister House, Sindh

Tel: +92-21-99202019(Ext: 336)

Website: www.cmsindh.gov.pk