An agreement has been reached between the International Monetary Fund (IMF) and Pakistan which has paved the way for the release of a $500 million instalment to Pakistan.
According to the IMF statement, Pakistan has assured of a structural reform program after which Pakistan’s debt program has been restored.
The statement further said that the IMF has approved the second to fifth review for Pakistan and the review mission has recommended the release of a loan of 50 500 million.
According to the IMF, the IMF Executive Board will approve the release of $500 million loans to Pakistan, after which $500 million will be released to Pakistan.
According to sources, the next meeting of the IMF Executive Board is expected in Washington in April to decide on the loan to Pakistan.
Federal Minister on Finance & Revenue. Economist of international Dr Abdul Hafeez Shaikh said on Twitter, “I would like to share that the Government of Pakistan has reached a staff-level agreement with the IMF. Overcoming the challenges created by the Pandemic has required a concerted effort.”
“I would like to thank the Prime Minister for his guidance, and all my colleagues and the IMF staff for their support. This is a good development for Pakistan,” the minister added.
(2/2) I would like to thank the Prime Minister for his guidance, and all my colleagues and the IMF staff for their support. This is a good development for Pakistan. https://t.co/UAF7nhn4O1
— Dr. Abdul Hafeez Shaikh (@a_hafeezshaikh) February 16, 2021
Earlier, Pakistan has strongly rejected the reports about the failure of negotiations with the International Monetary Funds (IMF).
The Ministry of Finance in a message on the social networking site has rejected the news of the failure of negotiations for the next instalment of the packaged loan from the IMF.
The Ministry wrote, “We would like to dispel the erroneous impression conveyed by an article in Financial Times regarding Pakistan’s IMF Program. The contention in the article appears to derive from the personal views of some individuals, while the actual position was never solicited from the Govt.”
“In this context, it is clarified that Pakistan is closely engaged with the Fund to bring the review work to completion without delay. Pakistan remains firmly committed to its agenda of fiscal stabilisation and economic reforms,” the statement added.