With certain risky inflows that could jeopardize financing plans, the International Monetary Fund (IMF) has assessed Pakistan’s gross external financing requirements at $10.8 billion for the new fiscal year.
Most of the funds are needed to return the loans that the country has taken from foreign lenders over the years, shows a latest IMF report released after completion of the third review of Pakistan’s economy under the $6.7 billion bailout programme.
The funding needs have been calculated on the basis of projections made by the IMF staff and State Bank of Pakistan.
The huge appetite for $10.8 billion will keep policymakers on their toes throughout the year as some of the sources of financing that the government is banking on for bridging the gap appear risky and uncertain, according to sources in the Ministry of Finance.
The IMF is of the view that Pakistan will require $3.1 billion just to cover the current account deficit.
