Pakistan ‘close’ to sign IMF agreement to unlock $1.1bn under SBA

ISLAMABAD –  Pakistani authorities are reportedly close to signing staff level agreement with the International Monetary Fund, which would offer much-needed final tranche of $1.1 billion.

The South Asian is expected to finalize staff-level agreement with global lender next week, sources said as IMF members are currently in Pakistan for the second review of the SBA loan program.  

This agreement will pave the way for Pakistan to receive the final installment of $1.1 billion under the SBA Agreement.

During the ongoing talks, the Aurangzeb-led delegation committed to increase power tariffs starting July 1 and implementing various fuel adjustments to recover costs. IMF delegation emphasized the importance of continuing to support individuals enrolled in the BISP program. 

Additionally, the multilateral lender urged Islamabad to maintain a stringent monetary policy and stable market exchange rate.

Earlier, the newly elected government turned down IMF’s request to revisit the National Finance Commission (NFC) Award due to a shortage of federal funds. The IMF had proposed this revisit during the second review talks under the $3 billion loan program.

https://en.dailypakistan.com.pk/14-Mar-2024/pakistan-imf-initiate-talks-today-for-release-of-dollar-1-1bn-tranche-of-bailout