IMF urges Pakistan to secure one-year rollover of $2bn UAE deposit

Islamabad (Web Desk): The International Monetary Fund (IMF) has urged Pakistan, during ongoing economic review talks, to secure a rollover of a $2 billion deposit from the United Arab Emirates (UAE) for at least one year.

According to sources, the IMF review mission raised concerns over the status of the UAE deposit and questioned whether it would be extended.

In response, officials from the State Bank of Pakistan (SBP) assured the visiting team during the economic assessment that significant progress was being made on the matter.

Sources within the Ministry of Finance said that, as part of efforts to move the process forward, a meeting between the IMF delegation and the UAE ambassador is expected.

Central bank officials informed the IMF team that the agreed external financing plan remains on track and that the government has re-engaged in discussions regarding a temporary rollover arrangement.

Pakistani authorities also held detailed discussions with the IMF delegation on foreign exchange reserves, monetary policy, the exchange rate, counter-terror financing measures and other key economic issues.

In addition, technical-level talks were conducted on banking regulations and steps taken to strengthen anti-money laundering frameworks.

Sources further stated that the SBP governor and senior management briefed the IMF mission during introductory sessions.

The IMF delegation is scheduled to continue its discussions with central bank officials in Karachi for two more days.