ISLAMABAD: Renowned business and financial media platform Bloomberg has said that securing a $6 billion loan from the IMF will be Pakistan’s new Finance Minister Muhammad Aurangzeb’s primary challenge.
In a report, the media organisation also mentions that Pakistan is set to receive an additional $1.1 billion from the IMF under a previous agreement.
Furthermore, Bloomberg notes Prime Minister Shehbaz Sharif’s inclination towards technocrats to address the country’s economic challenges. Shehbaz Sharif has experience in dealing with global institutions, particularly the IMF, the publication says. His return to the government is believed to enhance the likelihood of striking an IMF deal.
The report also points out that Pakistan currently offers the highest yield of 25% in Asia on dollar bonds, which underscores the urgency of addressing economic issues.
Regarding PM Sharif, Bloomberg highlights his past experience in handling lenders and even engaging with IMF Managing Director Kristalina Georgieva personally. Reducing the current account deficit and meeting IMF targets have been key aspects of his manifesto, according to the report.
Overall, Bloomberg’s analysis sheds light on the challenges faced by Muhammad Aurangzeb in securing IMF funding and the potential impact of Shahbaz Sharif’s experience on Pakistan’s negotiations with global financial institutions.
