As the International Monetary Fund (IMF) confirmed a staff-level agreement with Pakistan, which will see the release of a $1.17 billion tranche, the Pakistani rupee has seen a slight recovery against the dollar.
https://twitter.com/StateBank_Pak/status/1547168583679184896
Early morning on Thursday (today), the news of the staff-level agreement between the IMF and Pakistan was announced. "The IMF staff and the Pakistani authorities have reached a staff level agreement on policies to complete the combined 7th and 8th reviews of Pakistan’s Extended Fund Facility (EFF)," a statement by the IMF read.
The agreement is subject to approval by the IMF's executive board.
"Subject to Board approval, about $1,177 million (SDR 894 million) will become available, bringing total disbursements under the programme to about $4.2 billion," said the IMF statement
The IMF said that a team led by IMF Mission Chief to Pakistan Nathan Porter tied up the discussions with Pakistan. The IMF is also considering extending its EFF, which is currently worth $6 billion, till the end of June 2023, in addition to expanding its size to $7 billion by augmenting it by an additional $720 million.
The dollar shed 85 paisas in the interbank market and now stands at Rs 209.25, whereas in the open market, the dollar slid by 50 paisas to hit Rs 211.
However, according to data from Tresmark, the local currency's recovery was short lived, as by 1:30pm, it fell from Rs 209.75 to Rs 210.15 in the interbank market.
According to a tweet by the State Bank of Pakistan (SBP), the local currency closed at Rs 210.10 on Wednesday, having depreciated by 1.04%.
https://twitter.com/StateBank_Pak/status/1547168583679184896
Early morning on Thursday (today), the news of the staff-level agreement between the IMF and Pakistan was announced. "The IMF staff and the Pakistani authorities have reached a staff level agreement on policies to complete the combined 7th and 8th reviews of Pakistan’s Extended Fund Facility (EFF)," a statement by the IMF read.
The agreement is subject to approval by the IMF's executive board.
"Subject to Board approval, about $1,177 million (SDR 894 million) will become available, bringing total disbursements under the programme to about $4.2 billion," said the IMF statement
The IMF said that a team led by IMF Mission Chief to Pakistan Nathan Porter tied up the discussions with Pakistan. The IMF is also considering extending its EFF, which is currently worth $6 billion, till the end of June 2023, in addition to expanding its size to $7 billion by augmenting it by an additional $720 million.