ISLAMABAD: Pakistan and the International Monetary Fund have begun talks online on a ninth review of a $7 billion loan program, the Finance Ministry said on Monday, after a media outlet reported that the lender had asked the country to cut its expenses.
The government has shared fiscal data, including for floods and related expenditures, with the IMF, and a team from the agency is expected to visit Islamabad soon, the ministry added.
Under the IMF’s Extended Fund Facility (EFF), Pakistan secured a $6 billion bailout in 2019 that was topped up with another $1 billion earlier this year.
“As part of the 9th review under the EFF, remote discussions continue between IMF staff and the Pakistani authorities over policies to re-prioritize and better target support toward humanitarian and rehabilitation needs,” the lender’s resident representative, Esther Pérez Ruiz, told Reuters in a statement.
Pakistan has been reeling from floods this year that killed more than 1,700 people, destroyed farmland and infrastructure and exacerbated an economic crisis marked by decades-high inflation and dwindling foreign exchange reserves.
“The IMF understands that the floods have changed the macroeconomic assumptions on which the program was designed,” the ministry told Reuters.
“Detailed analysis is being conducted by their team using the data provided.”
Pakistan reserves stood at $7.8 billion as of Nov. 18, barely enough to cover imports for a month.
The Pakistan Stock Exchange fell around 2 percent on Monday, its first day of trading after the central bank unexpectedly hiked its key policy rate to 16 percent last week.
ARY News reported on Monday that the IMF had asked Pakistan to reduce expenses before talks on the ninth review.
The IMF’s board approved the seventh and eight reviews in August, allowing the release of more than $1.1 billion.
The ninth review has been pending since September. The IMF told Reuters last week that finalization of a recovery plan from the floods was essential to support discussions, along with continued financial support from multilateral and bilateral partners.
Pakistan, IMF begin talks on $7 billion loan review
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Pakistan, IMF begin talks on $7 billion loan review
- Fiscal data shared with the IMF and a team of the agency is expected to visit Islamabad soon
- Pakistan reserves stood at $7.8 billion as of Nov. 18, barely enough to cover a month’s imports
Pakistan leaders wish Saudi King Salman well after hospital admission for tests
- Pakistani PM and President express concern, pray for the King's swift recovery
- The official Saudi media has not shared the nature of the King’s visit to the hospital
ISLAMABAD: Pakistan’s prime minister and president on Friday expressed concern over the health of Saudi Arabia’s King Salman bin Abdulaziz, offering prayers and well wishes after state media said he had been admitted to hospital in Riyadh for medical examinations.
The Saudi Press Agency reported the King was undergoing medical tests at King Faisal Specialist Hospital in Riyadh, with no further information regarding the nature of the visit or his medical condition.
In a post on X, Prime Minister Shehbaz Sharif said Pakistanis held the Saudi King in high regard and were praying for his recovery.
“Deeply concerned by the news that Custodian of The Two Holy Mosques His Majesty King Salman bin Abdulaziz Al Saud is admitted in hospital for medical tests,” he said. “The people of Pakistan hold His Majesty in the highest esteem. We join our Saudi brothers and sisters in praying for His Majesty’s swift and complete recovery.”
President Asif Ali Zardari also conveyed his wishes, saying the entire Pakistani nation was praying for the Saudi King’s health and well-being, according to a statement issued by the presidency.
Pakistan has longstanding diplomatic and institutional ties with Saudi Arabia, and its leadership has consistently expressed deep respect for the Saudi royal family, particularly in view of the Kingdom’s religious significance and its role in the Muslim world.
