ISLAMABAD: The United Nations Secretary General Antonio Manuel de Oliveira Guterres, played a key role in the nine-month Standby Arrangement (SBA) of International Monetary Fund (IMF) according to which Pakistan will receive $ 3 billion in three tranches.
On July 3, 2023, Prime Minister Shehbaz Sharif while presiding over a meeting of Federal Cabinet praised those countries and personalities who helped Pakistan secure the SBA. The first tranche of $ 1.2 billion has been transferred into the SBP account whereas the two remaining tranches amounting to a total of $ 1.8 billion will be released after the two subsequent scheduled reviews.
The Prime Minister in his remarks during the Cabinet meeting, thanked the Managing Director, IMF, for her instrumental role in achieving this agreement. He also expressed his sincere compliments to the Secretary General, United Nations, for the part he played in securing the SBA for Pakistan and his offer of further assistance, if needed.
Prime Minister made special mention of the key role played by Foreign Minister Bilawal Bhutto Zardari for his efforts. Terming it as a breather, the Prime Minister urged the members not to be complacent but to utilize this window of opportunity to embark upon necessary structural reforms so that the country would not need to go back to the IMF.
The challenges ahead, he said, would be huge but so was the government’s resolve and with concerted efforts, where all the state institutions playing their role to fulfil the assigned responsibilities and making united endeavours, could free Pakistan from the vicious circle of taking loans and usher an era of progress and prosperity.
The Prime Minister spoke very high of support extended by China, especially in recent months, by rolling over US$ 5 billion of sovereign and commercial bank loans. The people of Pakistan, he said, would never forget the help provided by the time-tested friends in these difficult times.
The Prime Minister also thanked Saudi Arabia for US$ 2 billion, and UAE and IDB for US$ 1 billion each for Pakistan. Calling it a team work, he highly appreciated the key role played by Chief of Army Staff (COAS), General Syed Asim Munir to bring in support from Saudi Arabia and UAE.
The Finance Minister briefed the Cabinet on the new SBA agreed with the IMF. He apprised the Cabinet members of its salient features as reflected in the Letter of Intent (LoI) and its attached Memorandum of Economic and Financial Policies (MEFP) signed on June 30, 2023. The Cabinet unanimously endorsed the LoI/MEFP and commended the Prime Minister, the Finance Minister and his team on this long-awaited breakthrough which augurs well for Pakistan’s economy.
Copyright Business Recorder, 2023
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