Karachi: The State Bank of Pakistan (SBP) said that the country would be able to meet its financial needs in the current fiscal year 2022-23 (FY23) with the projected release of the 7th and 8th tranches from the International Monetary Fund (IMF), news sources reported on August 1.
According to a statement issued on July 31, the apex bank stated that in addition to the USD 1.7 billion expected from the IMF, the country would be able to acquire another USD 4 billion from friendly countries, which will help stabilise its financial needs for the current fiscal year.
Moreover, the financing would slightly over-finance the government for FY23, which will help to slow the rupee’s slide against the US dollar. Furthermore, the SBP statement noted that finance requirements will also assist with the country’s USD 10 billion current account deficit (CAD) and foreign debt repayments of around USD 24 billion.
It is worth noting that the 7th and 8th tranches of the USD 7 billion financing deal are likely to arrive in Pakistan in the next few weeks. In July, both sides struck a staff level agreement, increasing the financial amount from USD 6 billion agreed in 2019 to USD 7 billion.
Nauman Ahmad is an imaginative Pisces whose love for literature and nature is unparalleled. When he's not reading or hiking, he's sleeping and eating, which gives him plenty of energy for his next adventure.
