Pakistan, IMF have signed a bailout package: Asad Umar

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ISLAMABAD: Pakistan and the International Monetary Fund (IMF) have finalized and signed a bailout package as the mission of the fund will be visiting Pakistan in the third week of April, said Asad Umar, on Tuesday.

The finance minister revealed that the two sides had agreed on sticking points such as exchange rate, fiscal deficit, energy prices and public finance.

“All the major issues have been tabled and documented,” he said, apprising members of the National Assembly’s Standing Committee on Finance and Revenue.

Asad Umar said that the IMF mission would visit Pakistan to conclude various technical tables.

The finance minister said that major flows from the Asian Development Bank (ADB) and World Bank once funds from the IMF are received by Pakistan.

“The IMF programme is expected to be between $6-8bn,” he said.

The finance minister said that Pakistan’s financing gap was around $15bn while $7-8bn from the World Bank, $6-8bn from IMF and ADB would be available.

“The process of bonds had already been started,” he said.

Asad Umar briefed members of the standing committee that the government had taken timely decisions to save the country from an economic crisis.

He said that Pakistan was now in a better position to talk to the IMF than it was in October and November. The finance minister said that loans from friendly countries had helped provide decrease the current account deficit.

Asad Umar revealed that a compliance report will be submitted to the Financial Action Task Foce (FATF). The FATF will then review the report.