IMF hints at sending its mission to Pakistan for economic talks
Pakistan
The current standby arrangement ends in April 2024
ISLAMABAD: (Dunya News) International Monetary Fund (IMF) has given an indication to send a mission to Pakistan.
The International Monetary Fund (IMF) is ready to send its mission for the second economic review after the formation of the new cabinet of Pakistan.
The current standby arrangement ends in April 2024. IMF Director of Communications Julie Kozek has said completing the existing standby arrangement is a priority, looking forward to working with Pakistan's new government to ensure economic stability.
It is noted that the Pakistan Tehreek-e-Insaf (PTI) has asked the International Monetary Fund to factor in the country's political stability in any further bailout talks, two people familiar with the matter said on Wednesday.
The PTI has sent a letter to the IMF detailing its position, two senior sources in the party said, adding more details would be made public in due course.
The IMF has yet to receive the letter, the lender said in an email to Reuters.
Last week, the IMF declined to comment on the country's political situation after PTI founder’s aides said they would urge the lender to call for an independent audit of Pakistan's disputed Feb 8 elections before engaging in further talks with Islamabad.
Sohail Ahmed of Karachi-based Topline securities said the letter was unlikely to have a major market impact.
"The IMF will do its own due diligence," he said.
Pakistan's cash-strapped economy is struggling to stabilise after securing a $3 billion standby arrangement from the IMF last summer, with record inflation, rupee devaluation and shrinking foreign reserves.
Analysts say a new government - which are PTI’s opponents are expected to form - is likely to need more funds from the global lender after the standby arrangement expires in April.
