ISLAMABAD: International Monetary Fund (IMF) expressed confidence in reaching staff-level agreement (SLA) soon with Pakistan as nation faces one of its worst economic turmoil. IMF Director Middle East and Central Asia Department Jihad Azour’s made comments during meeting with Pakistani delegation, which is present in United States to attend IMF/World Bank Spring meetings.

Minister for Finance and Revenue Senator Ishaq Dar attended meeting through Zoom from Islamabad, statement from Finance Division said. “Jihad Azour expressed his confidence that Staff Level Agreement (SLA) will be signed soon followed by IMF Board’s approval,” statement mentioned, which comes as ray of hope for struggling country.

Finance Minister Senator Mohammad Ishaq Dar attended IMF/World Bank Spring meetings via Zoom from Islamabad with high level IMF team headed by Mr. Jihad Azour Director IMF. They discussed progress on IMF program and implementation of Prior Actions. (1/2)... pic.twitter.com/bel7gcWoma

— Ministry of Finance (@FinMinistryPak) April 12, 2023

Azour hoped that Pakistan would continue towards its progress on reforms in various sectors and complete programme in time and “IMF will play its positive role in bringing economic stability in Pakistan”. 

Pakistan has completed all prior actions required for securing IMF loan tranche and only reason behind stall in programme is commitments from friendly countries. $ 350 billion economy is getting closer to securing loan as Saudi Arabia has already committed $ 2 billion in funds. Funds are part of $ 6.5 billion bailout package IMF approved in 2019, which analysts say is critical for Pakistan to avert defaulting on external payment obligations.

Deal will also unlock other bilateral and multilateral financing avenues for Pakistan to shore up its foreign exchange reserves, which have fallen to four weeks’ worth of import cover and help it steer out of balance of payment crisis. During today’s meeting, two sides discussed progress made with ongoing IMF programme, particularly talks held with IMF mission during their visit to Pakistan and implementation of prior actions.

Published in The Daily National Courier, April, 13 2023

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