current affairs MCQ #6934

What prior action did Pakistan fulfill regarding energy tariffs as part of IMF EFF conditions?

current affairs MCQ #6934

  1. Question 1

    Q1. What prior action did Pakistan fulfill regarding energy tariffs as part of IMF EFF conditions?

    • A) Raising electricity tariffs to reduce subsidy burden and bring them closer to cost-recovery levels
    • B) Completely eliminating all power subsidies in one budget
    • C) Privatizing all electricity distribution companies
    • D) Signing a new gas supply agreement with Russia

    Answer: Raising electricity tariffs to reduce subsidy burden and bring them closer to cost-recovery levels

    Explanation: As a prior action for the IMF EFF, Pakistan raised electricity tariffs multiple times to narrow the gap between cost of supply and consumer prices, reducing the subsidy burden on the government.