Pakistan's 'Condom Crisis': IMF Rejects GST Cut Amid Soaring Population, Debt

• IMF rejected Pakistan's plea to cut GST on contraceptives like condoms and pills, aimed at curbing its world's highest population growth rate of 2.55%.
• Pakistan faces a 'condom crisis' as high inflation and an 18% GST make contraceptives unaffordable for many, hindering population control efforts.
• The IMF refused the GST reduction, citing potential revenue loss of 40-60 crore rupees and Pakistan's failure to meet its revised revenue targets.
• Pakistan is under a strict IMF bailout program, giving the fund significant control over its financial decisions, including tax policies.
• The IMF also declined GST cuts on essential items like sanitary pads and baby diapers, emphasizing fiscal discipline.

Why It Matters: IMF's refusal to cut GST on contraceptives deepens Pakistan's population and economic woes.