WASHINGTON (Reuters) – The International Monetary Fund (IMF) said on Friday it held constructive talks with authorities in Pakistan on economic policy and reform efforts to reduce vulnerabilities during an unscheduled staff visit.

The unusual visit from Nov 12 to Nov 15 discussed a $7-billion bailout within six weeks of its approval by the IMF board, but came too early for the first review of the Extended Fund Facility (EFF), due in the first quarter of 2025.

“We are encouraged by the authorities’ reaffirmed commitment to the economic reforms supported by the 2024 EFF,” Nathan Porter, the chief of the IMF’s Pakistan mission, who led the talks, said in a statement.

The constructive discussions on economic policy and reform efforts to reduce vulnerabilities would help to lay the basis for stronger and sustainable growth, he added.

The mission did not state the weaknesses, but sources in Pakistan’s finance ministry have said some major lapses prompted the IMF to intervene.

Among these were a shortfall of nearly 190 billion rupees ($685 million) in revenue collection during the first quarter of the current fiscal year.

The period also saw an external financing gap of $2.5 billion, while Pakistan failed in the bid to sell its national airline, a major setback on the path to privatising loss-making state-owned enterprises, required by the IMF.

Losses running into billions of dollars in the power and gas sector, the main hole in the economy, were also discussed, the IMF said, adding that structural energy reforms were critical to restore the sector’s viability.

Both sides agreed on the need to continue prudent fiscal and monetary policies, and mobilise revenue from untapped tax bases, the mission added.

Pakistan has struggled for decades with boom-and-bust economic cycles, prompting 23 IMF bailouts for the South Asian nation since 1958.

NNPC (Nigerian National Petroleum Corporation) is planning to open 12 more filling stations to sell fuel at a lower price of N230 per liter. This move is expected to increase competition in the market and potentially lead to a decrease in fuel prices.

Ekwutosblog gathered that with these  more filling stations selling fuel at a lower price, consumers may benefit from:

1. Increased competition: More filling stations selling fuel at a lower price can encourage other marketers to reduce their prices.
2. Lower fuel prices: As more fuel is available at a lower price, the overall market price may decrease.
3. Improved accessibility: More filling stations can make fuel more accessible to consumers, especially in areas with limited options.

However, it’s essential to consider the following factors:

1. Sustainability: Will NNPC be able to maintain the lower price point, or is this a temporary measure?
2. Market dynamics: How will other marketers respond to NNPC’s move, and will they also reduce their prices?
3. Supply and demand: Will the increased supply of fuel at a lower price lead to increased demand, and how will this affect the market?

Keep an eye on the developments and see how the market responds to NNPC’s plans!

The token climbed to an unprecedented US$81,497 early in the Asian day on Monday

Bitcoin rallied past US$81,000 for the first time, boosted by President-elect Donald Trump’s embrace of digital assets and the prospect of a Congress featuring pro-crypto lawmakers.

Trump’s decisive victory in the presidential election has prompted celebratory chest-thumping from the digital-asset industry, which spent over US$100 million backing a range of crypto-friendly candidates.

The largest token climbed as much as 6.1 per cent on Sunday, before extending the gain to an unprecedented US$81,497 early in the Asian day on Monday. Bullish sentiment lifted smaller coins too, including a surge in Dogecoin, a meme-crowd favourite promoted by Trump supporter Elon Musk.

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“With the dust from Trump’s victory still settling down, it was only a matter of time before a run-up of some sort occurred given the perception of Trump being pro-crypto, and that’s what we’re seeing now,” said Le Shi, Hong Kong managing director at market-making firm Auros.

Trump vowed on the campaign trail to put the US at the centre of the digital-asset industry, including creating a strategic bitcoin stockpile and appointing regulators enamoured with digital assets. Jubilant traders for the moment are paying little heed to questions such as the speed of likely implementation or whether a strategic stockpile is a realistic possibility.

His broader agenda of stoking domestic economic growth, tax cuts and reducing red tape has fuelled a buying spree across stocks, credit and crypto. The S&P 500 stock index last week hit its 50th record this year.

Bitcoin has added about 92 per cent so far in 2024, helped by robust demand for dedicated US exchange-traded funds (ETFs) and interest-rate cuts by the Federal Reserve. The rise in the token, which scaled fresh records after Tuesday’s US vote, exceeds the returns from investments such as stocks and gold.

The ETFs, powered by BlackRock’s $35 billion iShares Bitcoin Trust, posted a record daily net inflow of almost US$1.4 billion on Thursday, according to data compiled by Bloomberg. A day earlier, the iShares ETF’s trading volume jumped to an all-time peak – all signs of how Trump’s victory is reshaping crypto.

Trump’s stance contrasts with a crackdown on digital assets under President Joe Biden. Securities & Exchange Commission Chairman Gary Genslerrepeatedly labelled the sector as rife with fraud and misconduct. The agency turned the screws on crypto following a 2022 market rout and a litany of collapses, notably the bankruptcy of Sam Bankman-Fried’s fraudulent FTX exchange.

Digital-asset companies spent heavily during the election campaign to boost candidates viewed as favourable to their interests. Against that backdrop, Trump did an about-face, becoming a supporter of an industry he once labelled a scam.

“Trump has promised supportive regulation, and the sweep of the House and the Senate makes the passage of crypto bills much more likely,” wrote Noelle Acheson, author of the Crypto Is Macro Now newsletter.

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This article originally appeared on the South China Morning Post (www.scmp.com), the leading news media reporting on China and Asia.