The IMF representative in Pakistan has said that Pakistan will have to ensure that its balance of payments deficit (gap) is financed for the remainder of the period.
According to the British news agency Reuters, the IMF has been negotiating the ninth review since last month, and if it is approved by the board, Pakistan will receive $1.1 billion under the $6.5 billion agreement made in 2019. will
Last week, Finance Minister Ishaq Dar said that assurance of external financing is not included in the terms of the IMF.
Pakistan has completed almost all advance arrangements except external financing.
"All IMF program reviews require firm and reliable assurance that the borrowing country's balance of payments for the remainder of the program is fully financed," said IMF Representative Esther Perez Ruiz. Is. Pakistan is also not exempted from this.
Ishaq Dar had said that Pakistan needs five billion dollars in external financing to meet the financing shortfall in the current financial year ending in June. He said that according to the IMF, it should be seven billion dollars.
So far, China has assured refinancing of $2 billion, of which $1.2 billion has been rolled over.
The finance minister said that after the deal with the IMF this week, more external financing will be available, but the IMF has not given any time in this regard.
Anna Friedman of Deutsche Bank in London said on the situation in Pakistan, "After completing the long list of IMF programs, we believe that the revival of Pakistan's Extended Fund Facility (EFF) program is essential."
The Pakistani rupee depreciated due to a delay in the recovery of the IMF program, but it recovered on Monday after the dollar gained 6 percent on Thursday.
On January 25, foreign exchange companies lifted the cap on the currency. IMF representative Esther Perez Ruiz said that the difference in foreign exchange rates found in open and informal markets was very harmful to Pakistan.
He said that the Pakistani authorities are planning to impose a permanent electricity surcharge on consumers to reduce the revolving debt of the energy sector.