A day after the International Monetary Fund (IMF) approved the latest $1.1 billion loan for Pakistan under a $3 billion Stand-By Arrangement (SBA), Prime Minister Shehbaz Sharif said on Tuesday that “real success” debt relief.
Prime Minister Shehbaz expressed satisfaction over the approval of the third tranche of $1.9 billion that has been disbursed to Pakistan by the Washington-based lender. agreement.
Praising the finance team, including Finance Minister Mohammad Aurangzeb, for their efforts, the Prime Minister said the $1.1 billion tranche would “bring greater economic stability”.
The Prime Minister said that the government has taken sharp and tough decisions related to the economy and said that such decisions are now beneficial in the form of improved and stable economic indicators.
This statement came after the HPG Executive Board completed its second and final review of the SBA-backed Pakistan Economic Reform Program.
“The Council’s decision allows the payment of SDR 828 million (about $1.1 billion) and the total payment under the contract amounts to SDR 2.250 billion (about $3 billion),” HPG said in an official statement.
Emphasizing the positive development in our country’s economic indicators, HPG Deputy Managing Director and Chief Antoinette Sayeh pointed to moderate growth, easing external pressure, declining inflation and called Islamabad taking advantage of the stability achieved so far with macroeconomic policies and structural reforms to create stronger, more inclusive and sustainable growth.
Notably, Pakistan has formally applied to seek a further bailout package of between $6-8 billion from the EFF, with the option to increase it through climate finance from the HPG.
However, the exact size and timing will be determined only after the main line of the next program is approved in May 2024.
Real success lies in getting rid of debt, says PM
