November 22, 2021
1 min read

IMF, Pakistan reach deal over 6bn loan

The recent USD 6 billion funding programme dates back to 2019. The funding went through a halt this year due to prevailing reform issues in Pakistan….reports Asian Lite News

;The United Nations (UN) International Monetary Fund (IMF) on Monday said that it has come to an agreement with Pakistan on terms to help revive a USD 6 billion funding programme for the country.

The international financial institution today said that it had reached a staff-level agreement with Pakistani authorities in the context of policies and reforms required to complete the sixth review under the $6 billion Extended Fund Facility (EFF) which has been “in recess” since April.

“The agreement is subject to approval by the Executive Board, following the implementation of prior actions, notably on fiscal and institutional reforms,” IMF’s statement read.

“Completion of the review would make available (Special drawing rights) SDR 750 million (about US$1,059 million), bringing total disbursements under the EFF to about US$3,027 million and helping unlock significant funding from bilateral and multilateral partners. An additional SDR 1,015.5 million (about US$1,386 million) was disbursed in April 2020 to help Pakistan address the economic impact of the COVID-19 shock,” added IMF.

The recent USD 6 billion funding programme dates back to 2019. The funding went through a halt this year due to prevailing reform issues in Pakistan.

The revival of said funding programme is subject to finalisation of the National Socio-economic Registry (NSER) update, adoption of amendments in the National Electric Power Regulatory Authority (Nepra) Act, pending quarterly power tariff adjustments, and payment of the first tranche of outstanding arrears to independent power producers (IPPs) reported Dawn citing IMF sources.

IMF further stressed the necessity to curb inflation, preserve exchange flexibility rate and fortify international reserves, reported Dawn.

Lately, Pakistan has been witnessing currency devaluation, high inflation and a current account deficit while investors have become nervous about the outcome of the talks between the government and the IMF. (ANI)

ALSO READ: Pakistan public mood darkens about PRC despite GHQ efforts

Previous Story

UK invites ASEAN to G-7 meeting

Next Story

Festive Joy for Hackers

Latest from -Top News

TIES WITH CHINA: Is Bangladesh Going Lanka Way?

Plans for nine Special Economic Zones, including Chinese-developed sites in Chattogram and Chandpur, promise jobs but risk creating enclaves where Beijing’s economic priorities overshadow Bangladesh’s….reports Asian Lite News On a humid March

Khaleda Zia’s Son Return Looms as Yunus Faces Heat

The core question remains whether Rahman can provide leadership in politically turbulent times in Bangladesh….reports Asian Lite News Speculation is mounting in Bangladesh over the possible return of Tarique Rahman, son of

India Eyes Top 5 Spot in Global Entertainment

With focused investments, policy support, and infrastructural upgrades, India is on track to position itself as one of the top five live entertainment destinations globally by 2030…reports Asian Lite News Fueled by
Go toTop

Don't Miss

Over 200 migrants return to Afghanistan from Pakistan

The continuous return of Afghan refugees from neighbouring countries is

Pakistani man charged in assassination plot against Trump

According to court documents, others may also have been intended