Canada Global(Web News)The IMF’s Executive Board will approve a staff-level agreement with Pakistan on December 7 after a first review of the $3 billion standby arrangement. About $700 million will be paid on December 8.
According to a report, the closing statement of the IMF mission stated that a staff-level agreement had been reached between the IMF and Pakistani officials on the first review under the Standby Agreement.
After approval by the Executive Board, $700 million will be disbursed, bringing the total disbursements under the program to nearly $1.9 billion, the statement said.
Caretaker Finance Minister Dr. Shamshad Akhtar announced the suspension of the $1.5 billion Eurobond issue due to regular adjustments in electricity and gas rates to avoid deterioration in global economic conditions and further increase in revolving debt.
The IMF mission called on authorities to return to market-based exchange rates and identified risks posed by geopolitical tensions, rising commodity prices and complex global economic conditions.
The IMF mission also noted that the timely flow of announced external assistance is essential to support the authorities in policy and reform efforts, with the government increasingly engaged with multilateral institutions and friendly countries.
