Ishaq Dar, the finance minister, met with the Chinese representative on Monday to discuss the status of the International Monetary Fund (IMF) project, which has been in limbo since November of last year.
Dar updates Chinese envoy on talks with IMF: According to a statement released Monday, Pang Chunxue, Charged of Affairs, visited the Finance Division to speak with Finance Minister Dar.
According to the statement, the finance minister praised China for its support of Pakistan on several fronts and the long history of bilateral relations between Pakistan and China.
“He also highlighted the need to deepen bilateral relations further in the economic, trade, and financial sectors.”
After completing the ninth review, Senator Dar “further updated the Charged Affairs about the progress on talks with the IMF.”
The statement continued, “He further informed her about the favorable response of the various sectors of the economy to the Budget 2023-24, presented by the incumbent government despite challenging economic conditions.”
Amid significant economic difficulties and a protracted delay in the 9th review of the IMF program, the coalition government led by the Pakistan Muslim League-Nawaz (PML-N) submitted the “election year” budget for the fiscal year 2023–24 on Friday.
“China Expresses Gratitude and Promises Ongoing Support to Pakistan in High-Level Talks”
On Monday, Chunxue acknowledged the good ties between the two nations and expressed his gratitude. She also pledged the people of Pakistan ongoing support from the Chinese government.
The statement said, “The two sides discussed various options available to both countries to enhance the existing cooperation to unprecedented levels.”
The administration has been rushing to secure funding from its bilateral and international partners in recent months. To fulfill a previous need for the blocked IMF rescue package, it had previously claimed to have secured finance pledges from Saudi Arabia, the United Arab Emirates, and China.
The international lender has stated that before its board decides whether to release all $2.5 billion remaining outstanding under a financing program expiring this month, Pakistan must satisfy the IMF on three criteria.
According to an IMF official, these include getting the foreign exchange market back to normal operation, enacting an FY24 Budget aligned with program goals, and obtaining solid and reliable finance commitments.
According to experts, Pakistan depends on the IMF program to avoid a potential default as it navigates one of its worst economic crises in decades.