IMF executive board to meet for approving $1.17b tranche for Pakistan

By Muhammad JuniadPublished On 05 Jan 2023

The release of the sought-after tranche by the International Monetary Fund (IMF) to Pakistan nears as the global lender’s executive board will meet on August 29.

Esther Perez Ruiz - IMF’s Resident Representative for Pakistan – has also endorsed the meeting date.

The executive board will approve a tranche of $1.17 billion for Pakistan after the country has fulfilled all conditions.

The board will also evaluate 7th and 8th reviews of Pakistan’s Extended Fund Facility (EFF).

According to the correspondent, there is a high possibility of extension of a year in Pakistan’s loan term.

The approval for enhancing Pakistan’s loan amount from $6 billion to $7 billion will also be on the cards in the executive board’s meeting.

Pakistan sends letter of intent to Fund

Earlier in the day, Finance Minister Miftah Ismail confirmed that Pakistan has sent back the Letter of Intent to the IMF.

Addressing the business summit in Islamabad, the Pakistan Muslim League Nawaz (PML-N) leader said the letter was signed by him and State Bank of Pakistan’s (SBP) Acting Governor Dr Murtaza Syed.

The finance czar accepted that he faces shame in asking for money from other countries. “Pakistan today is not where it used to be 75 years ago.”

He went on to say that there was a deficit of Rs3,500 billion annually during the last four years of the Pakistan Tehreek-e-Insaf (PTI) led government whereas the budget deficit stood at Rs1,600 billion during the PML-N’s tenure.