ISLAMABAD: The Middle East Director of the International Monetary Fund (IMF), Jihad Azour, announced that the IMF would soon sign a Staff Level Agreement (SLA) with Pakistan, which is a significant development for the financially troubled country.
Pakistan’s Finance Minister, Ishaq Dar, held formal discussions with IMF officials and stated that the agreement would be submitted to the IMF board for approval. The IMF director expressed hope that Pakistan would continue to make progress in implementing reforms and complete the IMF program on time.
Dar participated in the IMF and World Bank annual meeting through a video link, and the talks were led by IMF Director Middle East Jihad Azour. Both sides discussed progress on the ongoing loan program with the IMF, as well as the recent visit of the IMF mission to Pakistan and the implementation of preconditions.
Due to important engagements in Pakistan, Dar canceled his visit to the US. During the discussions, Dar informed about the challenges facing the country’s economy, while emphasizing the need for macroeconomic stability in Pakistan.
Dar also appreciated the cooperation of the IMF team for the completion of the Ninth Economic Review and reiterated that the government had implemented all the pre-conditions and was ready to fulfill its obligations as promised to the IMF.
The IMF’s loan program is aimed at stabilizing Pakistan’s economy and implementing structural reforms to boost economic growth.
The agreement between Pakistan and the IMF is a significant development as Pakistan has been struggling with a financial crisis for several years. The country has been dependent on external financing to maintain its economy, and the IMF has been a critical source of support.
The IMF has also called for the central bank to maintain a flexible exchange rate and to take steps to strengthen the financial sector.
