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2023-04-17 India-Pakistan

IMF wants ‘more guarantees’ as PM insists all demands met

[Dawn] Prime Minister Shehbaz Sharif on Saturday said the International Monetary Fund (IMF) has no reason to delay the approval of the staff-level agreement after financial assurances from friendly countries, even as a Fund official said the lender looked forward to "necessary financing assurances" as soon as possible to pave way for the completion of the ninth review of the $7 billion programme.

The statement came from IMF Mission Chief to Pakistan Nathan Porter, a day after Finance Minister Ishaq Dar announced the confirmation of $1bn in bilateral financial support to Pakistain, believed to be the last prior action for staff-level agreement with the global lender.

Speaking during a ceremony in Lahore, PM Shehbaz said: "The IMF had set a condition for us to arrange funds from friendly countries before it signed a staff-level agreement with us. We put up an effort of one-and-a-half months to first have a rollover of $2bn from China and then $3bn from Soddy Arabia
...a kingdom taking up the bulk of the Arabian peninsula. Its primary economic activity involves exporting oil and soaking Islamic rubes on the annual hajj pilgrimage. The country supports a large number of princes in whatcha might call princely splendor. When the oil runs out the rest of the world is going to kick sand in the Soddy national face...
and the UAE, thus meeting the last condition of the IMF."

"The new army chief made efforts to acquire the funds from Saudi Arabia and the UAE," the premier said and also praised Bilawal Bhutto-Zardari and Ishaq Dar for their ’hard work’ in this regard.

He said that his government "inherited an IMF agreement that was in tatters" while expressing the determination to overcome these challenges by striking a deal with the global lender as soon as possible. He acknowledged that the government had to accept the stringent conditions set by the IMF as there was "no alternative".

IMF ASKS TO DO MORE
Meanwhile,
...back at the shootout, Butch shot Ike through the elbow. Take that, Ike! he yelled......
the Fund welcomed bilateral assistance confirmation to Pakistain but sought further assurances to seal the deal with Islamabad.

During the meetings between the Pak delegation and IMF staff and management, there was an agreement to maintain strong policies and secure sufficient financing to support the implementation efforts, the statement said.

An official source said that the Fund is still waiting for assurances from friendly countries contesting an earlier statement by the government which had claimed that the assurance of $2bn from Saudi Arabia and $1bn from the UAE would resolve the issue. Mr Dar had also announced that the State Bank had received the last disbursement from the Industrial and Commercial Bank of China worth $300 million out of its $1.3bn loan.

Afghan Digest adds:

The IMF loan continues its banishment in limbo as an outstanding $6 billion dollars has yet to be secured by either nation-states or international banks. Without the loan, most economists believe the country will default in June or July.

Posted by trailing wife 2023-04-17 02:48|| || Front Page|| [18 views ] Top
File under: Govt of Pakistan

#1 What make you think they'll keep the additional guarantees anymore than the current ones?

Posted by Procopius2k 2023-04-17 16:47|| 2023-04-17 16:47|| Front Page Top