IMF signals readiness for second review of Pakistan’s SBA

WEB DESK: In a recent media briefing, Julie Kozack, the Communication Director of the International Monetary Fund (IMF), announced the organisation’s readiness to undertake a mission for the second review of the stand-by arrangement (SBA) with Pakistan.

Kozack shared this information, emphasising that the mission would take place shortly after the establishment of the new cabinet.

Highlighting recent developments, Kozack informed the audience that on January 11, the IMF Executive Board granted approval for the first review of the stand-by arrangement, resulting in total disbursements reaching approximately $1.9 million.

The stand-by arrangement has been crucial in supporting the Pakistani government’s efforts to stabilise the economy, with a specific focus on safeguarding the most vulnerable segments of the population.

During the interim period of the caretaker government, Kozack commended the authorities for maintaining economic stability.

This was achieved through rigorous adherence to fiscal targets, prioritising the protection of the social safety net, and adopting a firm monetary policy stance to control inflation.

Additionally, efforts were directed towards bolstering foreign exchange reserves and implementing timely adjustments in tariffs to enhance the sustainability of the energy sector.

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