In order to satisfy a further IMF requirement, the State Bank of Pakistan (SBP) has removed all import restrictions.
SBP Lifts Import Restrictions: To comply with another IMF requirement, the central bank issued a circular ordering the removal of all import restrictions.
After receiving clearance from the federal authorities, banks were allowed to release more than 6,000 containers and offer remittances for all imports, as stated by the SBP in the circular.
The central bank has instructed the authorized dealers to send remittances in accordance with the suggestions made by the stakeholders, as reported.
Reportedly, Pakistan and the IMF’s difficulties in resuming a loan program have resulted in unrest between the International Monetary Fund (IMF) and the Ministry of Finance.
Challenges in Securing Funding for Pakistan’s Deficit Closure Plan Amidst Donor Conference Setbacks
According to sources, the plan to close the deficit in external financing included the monies from the donor meeting conducted in Geneva.
The purpose of the conference was to solicit assistance and funding for Pakistan’s financial requirements. As part of the plan, the Geneva Donor Conference set a goal for the IMF to raise $500 million by the end of June.
But there have been challenges in trying to get money for the Ministry of Planning and Treasury. The Ministry has had difficulty moving forward on contracts and agreements under the Donor Conference, which has made the financing process even more difficult.
Sources in the Ministry of Finance report that the Geneva Donor Conference has reportedly received only $150 million, which is less than projected. The International Monetary Fund (IMF) expresses worries over the lack of financial support secured through the meeting, resulting in their dissatisfaction.
Despite these obstacles, the organizers will utilize the money collected through the Donor Conference to support vital recovery and rehabilitation initiatives in flood-affected communities. The purpose is to attend to these communities’ needs and aid in their rehabilitation initiatives.