News
Wednesday, November 02, 2011
Pakistan to forfeit final IMF loan tranche: FT
WASHINGTON: Pakistan will not take up the final $3.7 billion tranche of an International Monetary Fund (IMF) loan package after rejecting strict reform demands, the Financial Times said on Tuesday. Finance Minister Abdul Hafeez Sheikh told the paper that the IMF conditions were too tough and the government would instead pursue a homegrown reform programme, adding that the “resilient” economy did not need IMF help.The Washington-based fund bailed out Pakistan with an $11.3 billion loan package launched in November 2008 as the country faced 30-year-high inflation rates and fast-depleting reserves, as well as a deadly insurgency. The IMF forecasts Pakistan to post growth of just 2.6 percent in 2011, among the lowest in Asia, while inflation is tipped to stand at around 14 percent this year and next - among the highest in the world. afp
Courtesy www.dailytimes.com.pk