Page 14 - Imf

Pakistan gets initial nod from IMF on $700 mn loan tranche of $3 bn scheme

The Washington-based lender announced that it reached a staff-level agreement to give the nation access to a payout of roughly $700 million - subject to approval from the IMF's executive board

IMF reaches staff-level agreement with Pakistan on $700 mn bailout review

Pakistan and the IMF reached a staff-level agreement for the release of a USD 700 million second tranche of an ongoing USD 3 billion bailout package, the global lender said on Wednesday, in a major relief to the cash-strapped country. While approving the USD 3 billion loan in July this year, the International Monetary Fund (IMF)had also released the first tranche of USD 1.2 billion. Although essentially a bridge loan, it offered much respite to Pakistan, battling an acute balance of payments crisis and falling foreign exchange reserves. A team led by the IMF mission chief for Pakistan, Nathan Porter, visited Islamabad from November 2-15 to hold discussions on the first review of the country's economic programme supported by a stand-by arrangement (SBA), according to a statement issued by the global lender after the discussions. The IMF team has reached a staff-level agreement (SLA) with the Pakistani authorities on the first review of their stabilisation programme supported by the

Developing economies' quota in IMF key to global financial stability: CEA

The increase of developing economies quota in the International Monetary Fund (IMF) can play a pivotal role in safeguarding global financial stability by enhancing the multilateral lending agency's permanent resources, Chief Economic Advisor V Anantha Nageswaran said on Wednesday. Participating in an event organised by the finance ministry, Nageswaran said the reforms of international financial institutions have to go beyond the World Bank and multilateral development banks (MDBs). "The executive board of the IMF has proposed to the Board of Governors that a 50 per cent quota increase (should be) allocated to members in proportion to their current quotas," he said. The 16th General Review of Quotas (GRQ) is likely to provide a greater say to developing economies in the International Monetary Fund. "This quota increase can play a pivotal role in safeguarding global financial stability by enhancing the IMF's permanent resources and reducing its reliance on borrowed resources," he ...

IMF advises Pak not to make preferred investors group, ensure transparency

The IMF has advised cash-strapped Pakistan against creating a group of preferred investors or distortions in the country under the Special Investment Facilitation Council (SIFC) and to ensure transparency and accountability in its business deals, according to a media report on Wednesday. Deputy Chairman Planning Commission Dr Jehanzeb Khan told economists and journalists that the visiting International Monetary Fund mission had raised questions as to the need for the creation of another institution like SIFC and whether this would lead to the distressed sale of assets and advised against preferred investors. They want transparency and accountability should be above board in these matters, Khan was quoted as saying by the Dawn newspaper. The two sides are reported to have had back-and-forth clarifications on Tuesday on finalisation of the Memorandum of Economic and Financial Policies (MEFP) and were expecting to conclude the talks on a positive note on Wednesday. The IMF staff missi

IMF asks Pakistan to strictly implement anti-money laundering laws

IMF staff directed Pakistan to devise a clear policy to detect 'suspicious transactions' in tax crimes and asked to pass clauses for strict punishment in the upcoming finance bill

IMF urges Pak officials to tax agriculture, real estate, retail sectors

The recent demand was kept during an ongoing review of the USD 3 billion stand-by arrangement (SBA), Geo News learned on Thursday

IMF warns Europe against prematurely declaring victory over inflation

The European Central Bank and other policymakers across Europe need to keep interest rates at current elevated levels until they're sure inflation is under control despite sluggish growth, the International Monetary Fund said on Wednesday, warning against premature celebration as inflation declines from its peak. The Washington-based IMF said that the cost of underestimating inflation's persistence could be painfully high and result in another painful round of rate hikes that could rob the economy of a large chunk of growth. The European Central Bank, the Bank of England and the other central banks that aren't part of the 20-country eurozone are reaching the peak of their interest rate cycles, while some have started to reduce policy rates, the IMF said in its twice-yearly regional economic outlook for Europe. Nonetheless, a prolonged restrictive stance is still necessary to ensure that inflation moves back to target. Historically, it takes an average of three years to return ...

The stunning resilience of emerging markets

Prudent economic policies and central bank independence have allowed them to defy analysts' expectations of a debt spiral

Pakistan informs IMF its debt serving costs may go up to PKR 8.5 trn

A substantial portion of this debt cost is attributed to domestic debt servicing, while external debt servicing exceeds PKR 900 billion

India abstained from Pakistan's loan request to IMF: Finance ministry

The arrangement provides short-term financial assistance to countries facing balance of payments problems

Pakistan stocks rise to highest in 6 yrs on election optimism, IMF visit

The benchmark stock index struck a record intra-day high of 53,263.07 on Friday, rising 1.15% from Thursday close, before settling back slightly. It was the highest since May 25, 2017

Pakistan, IMF commence negotiations for second tranche of $3 bn loan

Cash-strapped Pakistan and the IMF have kicked off the much-awaited loan review talks for the release of the USD 710 million second tranche of a USD 3 billion bailout package on a generally positive note. Caretaker Finance Minister Dr Shamshad Akhtar and the International Monetary Fund's (IMF) mission chief for Pakistan, Nathan Porter, led their sides to the opening round of two-week-long negotiations to discuss the next tranche based on Pakistan's performance in the first quarter that started in July. Porter "appreciated the government's commitment" to meeting the first-quarter targets, the Ministry of Finance said in a statement after the meeting, which has set the stage for a deep dive into forward-looking reforms under a nine-month bailout package, slated to be completed in March next year. He also "commended the government's efforts and measures taken in some critical areas" and underscored the importance of continuing these efforts to stay on track for ensuring the country's .

In Pakistan, steep natural gas price hike ahead of review by IMF

An IMF team is scheduled to arrive this week to review benchmarks set for the $3 billion stand-by arrangement it agreed in July

India in 2047

Policy adjustments can enable higher growth

Pak central bank keeps key rate unchanged at 22% ahead of IMF's visit

Inflation rose sharply to 31.4% in September on the back of a record fuel price hike, but the government has since slashed prices at the pump

Prolonged Israel-Hamas war means higher interest rates for longer: IMF

Inflation is still high and that requires interest rates to remain high, throwing more cold water on growth, said IMF

Best of BS Opinion: An update on global capital, supply-side dilemma & more

Here is the best of Business Standard's opinion pieces for today

India's fiscal position 'solid' amid global headwinds: Finance ministry

'West Asia situation, oil prices new challenges'

A difficult choice

Postponing IMF reforms in strategic interest

Will use 2nd IMF tranche to settle outstanding credit: Sri Lanka minister

Sri Lanka would utilise the IMF's second tranche of the bailout deal to settle arrears owed to multilateral creditors while expediting the debt restructuring process, state minister of finance Shehan Semasinghe has said. Sri Lanka is now in a position to receive the second tranche of USD 330 million upon approval of the Staff-Level Agreement by the IMF Executive Board. The Staff-Level Agreement will enable the World Bank, Asian Development Bank, and other multilateral financial institutions to make the remaining payments, further expediting debt restructuring efforts with international partners, Semasinghe said in a statement on Friday. The IMF had, in March this year, approved a 48-month, USD 2.9 billion extended arrangement under the Extended Fund Facility (EFF) to support Sri Lanka's economic policies and reforms. It said, despite showing early signs of stabilisation, the full economic recovery was not yet assured. Sri Lanka's external position had weakened as a result of the .