To approve the Staff-Level Agreement (SLA) with Pakistan for the initial review of the $3 billion Stand-By Arrangement (SBA), the IMF Executive Board will convene on January 11.
IMF Board To Meet on Jan 11 2024 To Disburse Next Tranche
The much-needed nine-month agreement with Pakistan “to support its economic stabilization program” approved by the IMF executive board in June.
$1.2 billion will disburse immediately under the approval, with the remaining funds will phase in over the course of the program and subject to two quarterly reviews.
On November 15, in Islamabad, the IMF staff and Pakistani authorities reached the SLA.
This means that Pakistan will now have access to SDR 528 million, or about $700 million.
$3 Billion SBA Program
This will raise the total amount disbursed under the $3 billion SBA for nine months to nearly $1.9 billion.
To approve the first tranche, the IMF board had originally planned to meet on December 7.
The Ministry of Finance has been making every effort to secure a date during the first week of December in order to guarantee approval of the SLA, according to sources who were notified earlier this week.
However, due to the Christmas and New Year holidays, the lender’s executive board members were unavailable during the final week of December and the first week of January.
Other Countries Are Also on the List
About 12 countries’ cases—both Article-IV consultations and program reviews—are on the executive board’s agenda through December 14th, according to the IMF’s schedule, which was updated on Monday.
However, the countries are Armenia, Bangladesh, Belgium, Benin, Cabo Verde, Congo, Côte d’Ivoire, Moldova, Rwanda, Senegal, Somalia, and Sri Lanka.
Furthermore, these discussions cover a wide range of topics, including Article IV consultations on member state economic developments and policies.
The board additionally examines aid packages from the IMF, including the extended fund facility (EFF) that it signed with Pakistan.
To read our blog on “IMF begins work on Pakistan’s new possible bailout program,” click here.