Bailout package
ISLAMABAD: Two mainstream political parties, PTI and PPP supported the IMF’s $3 billion bailout package for Pakistan.
A team of the IMF held separate meetings with the PTI leaders including Imran Khan and PPP leaders, seeking their support for the Fund’s proposed bailout package.
The executive board of the IMF is meeting on July 12 and these meetings were prior formalities to b completed before the meeting.
PTI leader Hammad Azhar said that the IMF team called upon Chairman Imran Khan at his residence on Friday.
The IMF country chief Nathan Porter joined the meeting virtually from Washington while the Resident Representative Esther Perez participated in the Zaman Park meeting in Lahore.
PTI’s team included Chairman Imran Khan, Shah Mehmood Qureshi, Hammad Azhar, Shaukat Tarin, Omer Ayub Khan, Dr Sania Nishtar, Shibli Faraz, Taimur Jhagra & Muzammil Aslam. The IMF-PTI leaders’ meeting lasted for more than an hour.
“We welcome the SBA to preserve macroeconomic stability by anchoring external financing and sound policies ahead of the national elections due in the Fall of this year and until a new government is formed,” Azhar said.
He added that PTI suggested the importance of programs to protect the lower-income segments of the population from high inflation.
Meanwhile, the PPP economic team also supported the Fund’s program for Pakistan saying it will revive economic stability in the country.
Govt presents $8 billion in external financing plan to IMF
Meanwhile, the federal government has submitted a financing plan of $8 billion to the International Monetary Fund (IMF). The government submitted to the IMF the foreign financing plan ahead of the board meeting scheduled for the 12th of July.
Accordingly, China will provide financing up to $3.5bn, underscoring China’s commitment to deepening bilateral solid relations in the economic, trade, and financial sectors.
China will rollover safe deposits of $2bn, and reschedule $1.5bn of commercial banks, Mettis Global reported today.
China’s support during the last few months when the country is in difficult economic circumstances shows China’s commitment to deepening the relations between both countries.
Meanwhile, Saudi Arabia, and UAE will contribute $2 billion and $1 billion respectively. Additionally, the Asian Development Bank (ADB) and the World Bank will contribute $500 million each.
Furthermore, the government will obtain $3 billion through the IMF program, signed between the International Monetary Fund (IMF) and Pakistan on June 30.
