Absence of Pakistan’s name at IMF Board meeting

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Due to the ongoing impasse over the ninth Economic Survey, Pakistan’s name was left off of the agenda for the forthcoming executive board meeting of the International Monitory Fund (IMF).

According to sources, names of Iceland and other countries were mentioned for approval during the meeting.

Officials from the Finance Ministry will electronically communicate with IMF staff members when the $6.5 billion loan programme with the IMF expires on June 30, according to sources.

In addition, Moody’s Investors Service has cautioned Pakistan that there is a greater chance it won’t be able to restart its $6.7 billion rescue programme.

Since November of last year, the programme has been stuck, bringing the nation closer to a sovereign default.

According to Grace Lim, a sovereign analyst with the rating agency in Singapore, “There are growing risks that Pakistan may not be able to complete the IMF programme that expires at the end of June.”

Given its extremely low reserves, Pakistan has a high risk of default without an IMF plan.