Pakistan May Get Additional Funds from IMF Under Saudi Arabia’s Quota

Sources say Pakistan can get additional funds from Saudi Arabia under the Special Drawing Rights (SDR) quota, an international reserve asset created by the IMF. Pakistan and the International Monetary Fund (IMF) have held discussions in this regard, sources told ProPakistani.

Final decision on Pakistan’s participation in the International Monetary Fund (IMF) program is yet to be made. The conditions include the collection of general sales tax (GST) and petroleum development levy (PDL) on petroleum products. IMF has also demanded immediate implementation on the power sector reforms.

Pakistan has committed to resuming power sector reforms including, critically, the timely adjustment of power tariffs. The delayed annual rebasing and quarterly adjustments will improve the situation in the power sector and limit load shedding, Pakistan’s Energy Minister Ghulam Ishaq Khan has said.

The International Monetary Fund (IMF) announced on Thursday that it has reached a staff-level agreement with Pakistan. The agreement would pave the way for the disbursement of $1.17 billion and increase the total loan size to $7 billion, subject to approval by the IMF’s Executive Board.