Ishaq Dar leaves for US visit with IMF, WB meetings on agenda

Finance Minister Ishaq Dar has left for a visit to the United States (US) on Tuesday, Ministry of Finance has said.

According to media reports, the finance minister will hold meetings with the International Monetary Fund (IMF) and the World Bank (WB). Dar will also attend the annual gathering of the Bretton Woods Institutions.

There have been expectations that the finance minister will formally request the IMF and the WB to revise economic targets along with review of macroeconomic framework of the current fiscal year.

Media reports have also claimed that requests for relaxation of budget deficit and current account deficit (CAD) targets would be made. Easing the conditions of IMF, freezing of Petroleum Development Levy (PDL) and Fuel Price Adjustment (FPA) will also be among discussions with the international money lender.

Dar had said on Monday that Pakistan would deliver on commitments with IMF to make sure the successful completion of its program. He had also said that Pakistan would not seek debt restructuring from Paris Club creditor nations.

Murtaza Syed, deputy governor of the State Bank of Pakistan (SBP), said on Monday that additional $4 billion of funds were secured by Pakistan from multinational lenders.

The external financing requirements of Pakistan during the ongoing fiscal year have been estimated at around $31 billion. Pakistan had showed a cushion of about $6 billion for its fast depleting reserves, currently at $7.8 billion.

According to Murtaza Syed, Pakistan has been expecting $1.5 billion from the Asian Development Bank (ADB), $500 million from the Asian Infrastructure Bank, $1 billion from the World Bank and $1 billion from the United Nations in flood aid.

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