Islamabad: International Monetary Fund (IMF) approved $ 15.6 billion loan to Ukraine earlier this week, first time global lender extended assistance to country at war, as Pakistan still struggles to fulfil challenging conditions to secure financing from Fund.

“Ukrainian authorities and IMF staff have reached staff-level agreement on set of macroeconomic and financial policies that would be supported by new 48-month Extended Fund Facility (EFF) Arrangement,” IMF said in a press release.

Announcement for extension of $ 15.6 financing to war-torn Western ally came same day Pakistan barely averted default on fuel purchase payments to Kuwait difficult move for government that might create problems in other areas because of country’s efforts to keep overall expenses within limits agreed with IMF to resume its $ 6.5 billion bailout programme.

Under deal with IMF, Pakistan is committed to either slash expenditures equal to supplementary grant or levy additional taxes of same amount just one of several tricky conditions set by global lender for crisis-hit country.

Published in The Daily National Courier, March, 26 2023

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