ISLAMABAD: The executive board of International Monetary Fund (IMF) is scheduled to meet in Washington on June 26 to approve $506 million for Pakistan in its seventh review of its Extended Fund Facility (EFF) arrangement.
The board will deliberate upon a report on preliminary findings on economy prepared by the IMF officials who last month held a series of discussions in Dubai and Islamabad with Pakistan’s economic team led by Finance Minister Ishaq Dar.
The IMF had approved a package of $6.6 billion for Pakistan in September 2013, weeks after Prime Minister Nawaz Sharif formed his government. Under the 36-month programme, the IMF has so far disbursed $3.5bn to Pakistan.
In its observation, the Fund’s mission said the reform programme had reached its mid-point, and already produced important economic achievements: near-term risks have receded, foreign exchange buffers have been rebuilt, and budget deficit has narrowed substantially.
The IMF mission led by Harald Finger and the finance ministry reached staff-level agreement on a ‘memorandum of economic and financial policies on the seventh review’ which would be presented to the executive board meeting. The mission had expressed its satisfaction over the state of Pakistan’s economy, observing that the economy continues to gradually improve, helped by macroeconomic stability, lower oil prices, robust remittances, and higher supply of gas and electricity.