Saturday, February 4, 2023
HomeEconomyPakistan to get $3 bn in external financing in two weeks -...

Pakistan to get $3 bn in external financing in two weeks – finance minister

By Asif Shahzad

ISLAMABAD (Reuters) – Pakistan’s finance minister said on Friday that the country hopes to secure $3 billion in external financing from a friendly country within two weeks as The South Asian country is awaiting funding from the International Monetary Fund.

The International Monetary Fund’s (IMF) review of its next tranche of disbursements has been pending since September, leaving Pakistan in dire need of external financing.

In an interview with Geo News TV on Friday, Pakistani Finance Minister Ishaq Dar said all the objectives of the IMF’s ninth review had been met, adding that there was no point in not disbursing the disbursement despite this of.

Pakistan received a $6 billion bailout under an Extended Fund Facility (EFF) of 2019, with an additional $1 billion earlier this year.

Esther Perez Ruiz, IMF Representative in Pakistan, said: “We continue to discuss policy with the government to address humanitarian and reconstruction needs from the floods , while promoting macroeconomic and fiscal sustainability,” it said in a statement.

Dar said Pakistan’s foreign exchange reserves have fallen to $7.5 billion and a friendly country will provide $3 billion in the next two weeks to support Pakistan’s foreign exchange reserves.

One month’s worth of imports is not enough for Pakistan, which has been facing a widening current account deficit and a balance of payments crisis.

“All the requirements of the ninth (IMF) review have been completed,” Dahl said, adding that the international lender’s failure to complete the review was “anomaly”.

Pakistan will make alternative arrangements if there is any delay by the IMF, he said.

“If the money doesn’t come, we’ll manage it, no problem,” he added.



Please enter your comment!
Please enter your name here


Featured NEWS