ISLAMABAD – Pakistan decided to seek a new programme from the International Monetary Fund (IMF), the sources close to the development said on Saturday.
The sources in the Ministry of Finance said that the IMF would hold negotiations with Pakistan under the Resilience and Sustainability Facility (RSF) for its 26th program.
A new IMF delegation is set to arrive in Pakistan on February 24 for the discussions.
“If the negotiations are successful, Pakistan is expected to receive over $1 billion under the RSF. The IMF delegation will stay in Pakistan for a week, marking the first-ever climate resilience program for the country,” said the sources. They said that Bangladesh has previously benefited from this fund.
Meanwhile, a separate IMF mission would visit Pakistan for the ongoing Extended Fund Facility (EFF) program. This second delegation would arrive on March 4, with EFF program negotiations expected to continue from March 4 to March 14.
Earlier, Finance Minister Muhammad Aurangzeb had said that Pakistan received positive feedback from the International Monetary Fund (IMF) regarding its macroeconomic performance.
Finance minister said that IMF Managing Director praised Pakistan’ reform-based program. He was quoting the discussion during the meeting of Prime Minister Shehbaz Sharif with the IMF MD and other officials in the UAE on Wednesday. Muhammad Aurangzeb has assured full support to facilitate private sector-led growth.
Virtually addressing a conference organized by Securities and Exchange Commission of Pakistan in Karachi, he said the government has no role in business, emphasizing that its responsibility is solely to provide a clear policy framework and ensure policy continuity.
He said the government has also engaged with the business community to seek recommendations for the next year fiscal budget.
Mr. Aurangzeb said the country has achieved macroeconomic stability over the last one year
Emphasizing innovation in the insurance sector, the finance minister said insurance entities in the private sector will also be privatized. He said a recommendation to this effect has been ratified by the federal cabinet.
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