Text size:

  • Small
  • Normal
  • Large

Pakistan asks IMF for multibillion-dollar rescue

Pakistan is in a critical condition and IMF's approval of Pakistan's financial strategy is expected to open the way for aid.

ISLAMABAD // Pakistan requires US$10 billion (Dh37bn) to US$15bn of support from foreign lenders to avert a balance of payments crisis, the country's newly appointed economic troubleshooter says. "In 24 months, we must correct the imbalance we have created," said Shaukat Tarin, an adviser to the prime minister on economic affairs. Pakistan is undergoing an annual economic review, which all International Monetary Fund (IMF) members face, but it is already in a critical condition, with the central bank holding barely enough foreign currency to cover six weeks of imports.

Islamabad was expected to seek a multibillion-dollar rescue package from the fund at a meeting in Dubai today. IMF approval of Pakistan's financial strategy is expected to open the way for aid from other assistance. Pakistan has already approached the World Bank, the Asian Development Bank and bilateral donors including Saudi Arabia and China for support. "Immediately, we don't need more than $10bn to $15bn," Mr Tarin said.

Inflation in Pakistan is running close to 25 per cent, the budget deficit is unsustainable, and the international bond market has priced in a debt default. * Reuters

Back to the top

More articles

Editor's Picks

 The Greens, villas: Q1 no change. 3BR - Dh210-250,000. 4BR - Dh210-260,000. 5BR - Dh220-300,000. Q1 2013-Q1 2014 5% rise. Pawan Singh / The National

In pictures: Where Dubai rents have risen and fallen, Q1 2014

Find out how rental prices in the prime locations in Dubai have altered during the first three months of the year and the current rates you will pay according to data provided by Asteco.

 Above, the private pool of Ocean Heights' five-bedroom penthouse flat. Courtesy Christie’s International Real Estate

In pictures: Penthouse flat is height of Dubai luxury living

A five-bedroom penthouse in Ocean Heights in Dubai Marina is on sale for Dh25 million and comes with a private pool and an unparalleled view of Dubai.

 The cooling towers of the Temelin nuclear power plant near the Tyn nad Vltavou in Czech Republic. The country wants to continue expanding nuclear energy capacity despite cancelling a tender to build two new units. David W Cerny / Reuters

In pictures: Best business images for the week to April 17, 2014

Here are some of the best business images for the week to April 17, 2014.

 Three generations of the Hakimi family tend to their stall Crawford Market in Mumbai. Subhash Sharma for The National

In pictures: Shopper’s delight at Crawford Market in Mumbai

Crawford Market is an old British-style covered market dealing in just about every kind of fresh food and domestic animal imaginable. Later on renamed Mahatma Jotirao Phule, the market remains popular among locals and visitors by its old name, taken from Arthur Crawford who was the first municipal commissioner of the city.

 The Wind, Energy, Technology and Environment Exhibition takes place from April 14 to April 16. Above, the Dewa showroom during last year’s Wetex. Jaime Puebla / The National

April corporate and economic calendar for the UAE and overseas

From Cityscape to Wetex to stock-market holidays to nations reporting first-quarter GDP figures, here is our helpful calendar of April's business events in the UAE and internationally.

 Get the latest information on credit cards, bank accounts and loan products in the UAE. Mark Lennihan / AP Photo

Rates report: Latest on UAE loans, accounts and credit cards

Souqamal.com brings you the latest interest rates on banking products in the UAE.


To add your event to The National listings, click here

Get the most from The National