Karachi, Feb 17 (PTI) Pakistan will seek an additional loan of whopping USD 4.5 billion from the International Monetary Fund to boost its fragile economy, reeling under a widening trade deficit, an official said today.
The IMF has already agreed to give Pakistan a whopping USD 7.6 billion to restructure its economy and this amount will be additional. Pakistani officials met creditors to review how the cash is being spent, the APP reported.
At the talks in Dubai, which are due to last until February 26, Pakistani and IMF officials will assess financial targets set for the country to qualify for the second installment of the loan, a finance ministry official said.
"During that meeting, Pakistan will ask for an additional loan of USD 4.5 billion," the official told on condition of anonymity as he was not authorised by the government to release the information.
It was not immediately clear whether the IMF would grant the request. Pakistan got USD 3.1 billion in the first tranche of a 23-month standby IMF loan last November, with subsequent payments dependent on Islamabad's fulfilling targets set by the international fund.
Among other tight demands, the IMF wants a reduction in Pakistan's deficit and huge borrowing from the central State Bank. The country approached the IMF last year for a rescue package as it grappled with a 30-year high inflation rate and fast-depleting reserves that held barely enough to cover nine weeks of import bills. PTI
No comments:
Post a Comment