The moment of truth is upon the government, but at just the wrong time. The last time the government faced votes in the National Assembly, it was defeated, though that might be more because of poor whipping than because it had irretrievably lost its majority. However, it was only able to face Parliament in the shape of a joint session, and even then it is said that pressure tactics were used PTI legislators to make them stay on the straight and narrow. The Mini Budget, which consists of a Finance Bill removing exemptions from the Sales Tax, is the prior action demanded by the IMF, before it considers Pakistan’s request for the next tranche of its EFF. As it is a Finance Bill, it will not go the Senate and only needs passage by the National Assembly before it goes to the President for assent.
That the government seems hesitant about it, with the Cabinet not having approved, thus ensuring that it was not on the agenda or the ongoing winter session of Parliament, indicates that the government has insecurities about its majority. If it does, it would be right, for the legislation is going to add to the problems of the government. The KP local body polls have shown how the electorate views the economy, local body polls are coming in Punjab and even general elections are not too far away.
Whether adding to the price hike is a wise step in an era when global inflation is driving up all prices makes electoral sense or not, it is not as if the government has a choice. It has to face the IMF next month, and it can only hope that inflation will have come down deeply enough and for long enough, to make a difference to the electorate at election time. The Punjab Local body polls are too soon for anything the government does about inflation to make any difference. The PTI will have to make do with whatever benefit it gets from the Sehat Card rollout, not that the scheme availed for much in KP The Mini Budget will be inflationary, hitting the common man hard. The PTI can do nothing but take the hit, and move on.
