Federal Finance Minister Ishaq Dar cancels important tour of US
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ISLAMABAD: The Federal Minister for Finance and Revenue Ishaq Dar has cancelled his trip to the United States to attend the spring meetings of the World Bank-IMF, where he was scheduled to meet with the IMF management to discuss the $1.1 billion loan tranche.
The reason cited for the cancellation was the "domestic state of political affairs." Despite Pakistan's efforts to secure the loan, assurances from friendly nations for additional funds have delayed the agreement.
In his place, a delegation including Finance Secretary Hamed Yaqoob Sheikh and Economic Affairs Secretary Kazim Niaz, along with State Bank of Pakistan Governor Jameel Ahmad, will attend the meetings and hold talks with IMF officials to seek the release of the next tranche of funding for Pakistan.
Pakistan has been in talks with the International Monetary Fund (IMF) since January 2023, seeking to release a $1.1 billion tranche from the $6.5 billion bailout package agreed upon in 2019. To qualify for the funding, the government has taken various measures such as reducing subsidies, removing an artificial cap on the exchange rate, implementing taxes, and raising fuel prices.
However, the agreement has been delayed due to assurances from friendly nations for additional funds, causing Pakistan to rely on alternative measures to support its economy.
The cancellation of Ishaq Dar's trip to the US has come as a blow to Pakistan's efforts to secure the IMF tranche. However, the country's delegation, comprising the Finance Secretary, Economic Affairs Secretary, and State Bank of Pakistan Governor, will attend the spring meetings of the World Bank-IMF and hold talks with the IMF officials on the sidelines of the meetings.
