The International Monetary Fund (IMF) is prioritizing the finalization of a crucial $3 billion Stand-By Arrangement Program with Pakistan. Julie Kozek, the IMF’s Director of Communication, addressed the media in Washington, refraining from direct comments on Pakistan’s political landscape. Instead, she emphasized the IMF’s commitment to collaborating with the Pakistani government to achieve economic stability.
Kozek highlighted Pakistan’s progress, noting the upcoming expiration of the current stand-by arrangement in April 2024. Under this program, Pakistan has already received $1.9 billion, with the caretaker government enforcing strict fiscal policies to curb inflation and implementing social security measures to protect citizens.
During the caretaker government’s tenure, Pakistan experienced economic stability, meeting fiscal targets and strengthening foreign exchange reserves. Timely tariff adjustments in the energy sector played a crucial role in maintaining economic equilibrium.
Kozek praised the caretaker government for its stringent fiscal policies in controlling inflation and implementing social safety measures, which contributed to economic stability during this transitional period.
She reiterated the IMF’s commitment to completing the stand-by arrangement with Pakistan and mentioned the readiness of the IMF to send a team for an economic assessment following the formation of Pakistan’s new cabinet.
