IMF Approved Pakistan's Loan | IMF | Pakistan Get Loan | Times Glo
- 2 years ago
The International Monetary Fund on Monday revived Pakistan’s programme and its board approved the $1.16 billion loan, ending months’ long uncertainty that increased in the past three days due to maneuvering by the Pakistan Tehreek-e-Insaf.
The global lender also approved to increase the loan size to around $7 billion and extended it till June 2023.
The IMF Board expressed condolences and sympathies with Pakistani authorities over the tragic loss of lives and livelihoods caused by the floods in the country, according to the sources. The board appreciated that Pakistani government made efforts to put the programme back on track and renewed commitment to programme policies and targets.
As per the commitment, Pakistan will have to show primary budget surplus target of Rs153 billion or 0.2% of the GDP, until it is mutually revised in consultation with the IMF staff.
The previous government of the Pakistan Tehreek-e-Insaf (PTI) had signed the 39-month EFF in July 2019 aimed at avoiding default on foreign repayment obligations. However, the country remained in turmoil and despite remaining in the IMF programme, its foreign exchange reserves remained thin amid heightened external debt-related vulnerabilities.
Due to faulty EFF programme design, unrealistic targets and lack of political commitment to implement what former premier and PTI chief Imran Khan had himself agreed to, the programme remained suspended for almost two years out of three years.
Commending Finance Minister Miftah Ismail and his team and other stakeholders for their hard work over the issue, Prime Minister Shehbaz Sharif in a Twitter post said: “The formal resumption of an IMF programme is a major step forward in our efforts to put Pakistan's economy back on track. It is outcome of an excellent team effort.”
But the reality is this temporary sigh of relief won't help the worn out economy of Pakistan in any way. In fact it will hurt it more because of corruption, institutional mismanagement and structural drawbacks
Join Times Glo on Social Networks:
Facebook: https://www.facebook.com/Timesglo
Twitter: https://twitter.com/Timesglo
Instagram: https://www.instagram.com/timesglo
Youtube: https://www.youtube.com/timesglo
#Shahbazsharif #MiftahIsmail #Bailoutpackage #IMFloan #IMFPakistan #PakistanLoan #TimesGlo
The global lender also approved to increase the loan size to around $7 billion and extended it till June 2023.
The IMF Board expressed condolences and sympathies with Pakistani authorities over the tragic loss of lives and livelihoods caused by the floods in the country, according to the sources. The board appreciated that Pakistani government made efforts to put the programme back on track and renewed commitment to programme policies and targets.
As per the commitment, Pakistan will have to show primary budget surplus target of Rs153 billion or 0.2% of the GDP, until it is mutually revised in consultation with the IMF staff.
The previous government of the Pakistan Tehreek-e-Insaf (PTI) had signed the 39-month EFF in July 2019 aimed at avoiding default on foreign repayment obligations. However, the country remained in turmoil and despite remaining in the IMF programme, its foreign exchange reserves remained thin amid heightened external debt-related vulnerabilities.
Due to faulty EFF programme design, unrealistic targets and lack of political commitment to implement what former premier and PTI chief Imran Khan had himself agreed to, the programme remained suspended for almost two years out of three years.
Commending Finance Minister Miftah Ismail and his team and other stakeholders for their hard work over the issue, Prime Minister Shehbaz Sharif in a Twitter post said: “The formal resumption of an IMF programme is a major step forward in our efforts to put Pakistan's economy back on track. It is outcome of an excellent team effort.”
But the reality is this temporary sigh of relief won't help the worn out economy of Pakistan in any way. In fact it will hurt it more because of corruption, institutional mismanagement and structural drawbacks
Join Times Glo on Social Networks:
Facebook: https://www.facebook.com/Timesglo
Twitter: https://twitter.com/Timesglo
Instagram: https://www.instagram.com/timesglo
Youtube: https://www.youtube.com/timesglo
#Shahbazsharif #MiftahIsmail #Bailoutpackage #IMFloan #IMFPakistan #PakistanLoan #TimesGlo