Mission chief says they are in contact with Pakistan for IMF Board meeting
Last updated on: 31 May,2023 03:55 am
Says talks focus on next budget
ISLAMABAD (Web Desk) – Nathan Porter – who is the IMF Mission Chief to Pakistan – on Tuesday said they were engaging with Pakistan to pave the way for the international lender’s board meeting and talks would focus on the budget for next financial year.
In a statement, Porter said the IMF programme would conclude on June 30 and added that they won’t comment on political developments and domestic policies.
“We take note of recent political developments, and while we do not comment on domestic politics, we do hope that a peaceful way forward is found in line with the Constitution and the rule of law.”
About the engagement with Pakistan, he said it was focusing on the restoration of foreign exchange proper market functioning, keeping in mind programme goals in preparation of the upcoming budget, and adequate financing. The objective was to pave the way for a IMF Board meeting before the current programme expired, Porter added.
Ordinarily, a board meeting on a review of the programme would require a prior staff-level agreement, which in Pakistan’s case would unlock $1.1 billion in financing for the cash-strapped nation as part of a $6.5 billion IMF package. But the staff-level agreement has been delayed since November, with more than 100 days gone since the last staff-level mission to Pakistan, the longest such delay since at least 2008.
Porter said that broadly speaking, “overcoming the present economic and financial challenges would require sustained policy efforts and reforms for Pakistan to regain strong and inclusive private-led growth.”
On Sunday, Finance Minister Ishaq Dar said Pakistan would share its budget details with the fund. He added that he would like the IMF to clear its 9th review before the budget, which is due to be presented in early June, as all the conditions for that had already been met.
“They have asked for some more things again, we are ready to give that too, they say that give us budget details, we will give it to them,” Dar said.
He said it would not work for Pakistan if the IMF combined the 9th and 10th review of the bailout, adding, “We will not do it, (we) see this is (as) unfair.”