WB Pakistan chief rejects media reports regarding delay in loans' approval
Business
WB Pakistan chief rejects media reports regarding delay in loans' approval
ISLAMABAD (Web Desk) - World Bank Country Director for Pakistan Najy Benhassine on Thursday refuted media reports that the Bank had decided to delay approval of ITS potential operations in Pakistan.
Taking to Twitter, he said, “The tentative board approval dates of all of our proposed operations, as well as their amounts, are indicative and the World Bank decides on the timing for sharing project proposals for board consideration following due process and based on the proposed projects’ readiness.”
A day earlier, news circulated that the multilateral lender had delayed the approval of two loans for Pakistan worth $1.1 billion until the next fiscal year, pending some steps on the country’s energy debt and tariffs.
The approval of the loans have been pending since June. Pakistan’s next fiscal year begins in July every year. A major issue is the circular debt management plan in the energy sector and tariff revision.
(2/2) …the World Bank decides on the timing for sharing project proposals for Board consideration following due process and based on the proposed projects’ readiness.
— Najy Benhassine (@WBPakistanCD) January 19, 2023
Pakistan is still reeling from devastating floods that have led to losses of more than $30 billion. On the other hand, Pakistan s foreign exchange reserves held by the State Bank of Pakistan (SBP) plunged to $4.3 billion earlier this month.
