In a significant development for Pakistan’s economic landscape, Ester Perez Luis, the International Monetary Fund’s (IMF) resident representative, recently met with the finance team of the Pakistan Peoples Party (PPP). The meeting aimed to discuss the possibility of a standby agreement with Pakistan, which holds the potential to profoundly impact the nation’s financial stability.
PPP’s Willingness to Support IMF Programme
During the meeting held in the minister’s enclave, the PPP expressed its willingness to support the IMF programme. Citing larger national interests as the driving force behind their decision, the party emphasized the importance of collaboration between the IMF and Pakistan.
Syed Naveed Qamar’s Acknowledgement of Standby Agreement
Syed Naveed Qamar, the Federal Minister for Commerce and representative of the PPP finance team, acknowledged the significance of the standby agreement in addressing Pakistan’s economic concerns. He reiterated the party’s commitment to working in harmony with the IMF to ensure the successful implementation of the programme.
According to the Express News, Perez stated that the IMF is also meeting with representatives of PML-N and PTI. Furthermore, the Executive Board of the IMF will consider a new standby arrangement agreement before the elections to achieve the programme’s objectives.
Notably, the IMF has reached a staff-level pact with Pakistan on a $3 billion stand-by arrangement. This decision, long awaited by the country, comes at a critical time when Pakistan is teetering on the brink of default. While subject to approval by the IMF board later this month, the agreement offers much-needed respite to Pakistan, which is currently facing an acute balance of payments crisis and falling foreign exchange reserves.
Prime Minister Shehbaz Sharif expressed his optimism regarding the agreement, stating that it will enable Pakistan to achieve economic stability and put the country “on the path of sustainable economic growth, God willing.”
The discussion between the IMF representative and the PPP finance team is seen as a positive step towards economic reform and stability in Pakistan.
