IMF package for Pakistan to be around $15 bn: IIF

WASHINGTON: A potential International Monetary Fund (IMF) programme for Pakistan could be valued at $15 billion, the Institute of International Finance (IIF) said in a report.

According to the report, IIF expects an agreement on a three-year IMF programme of $15 billion by end of this year.

The rupee’s 24 percent depreciation since end of 2017 may have eliminated most of the overvaluation, the institute stated.

Fiscal adjustment, monetary tightening, and a greater exchange rate flexibility will be integral to the new programme, it said.

Pakistan formally requested IMF for financial assistance at a meeting of the IMF-World Bank in Bali, Indonesia earlier this week. IMF chief Christine Lagarde said in a statement that she met Finance Minister Asad Umar, State Bank Governor Tariq Bajwa and other members of Pakistan’s delegation.

"During the meeting, they requested financial assistance from the IMF to help address Pakistan’s economic challenges," Lagarde said.