IMF says will support Pakistan with new economic programme upon government request

IMF Pakistan new economic programme: The International Monetary Fund (IMF) has expressed its readiness to assist Pakistan in formulating a new economic programme if requested by the country's new government. The announcement comes as Pakistan's cash-strapped economy grapples with challenges such as record inflation, rupee devaluation, and dwindling foreign reserves following a $3 billion standby arrangement secured from the IMF last summer.

A spokesperson for the IMF stated, "We look forward to engaging with the new government to complete the second review under the current Stand-by Arrangement and, should the government request, support the formulation of a new medium-term economic programme," in an emailed statement.

The remarks from the IMF follow a request made by the party of Pakistan's incarcerated former Prime Minister, Imran Khan, urging the IMF to ensure an audit of the disputed February 8 elections before proceeding with further bailout talks with Islamabad.

While the IMF refrained from commenting on domestic political matters, it emphasised the importance of fair and peaceful resolution of electoral disputes, underscoring the significance of a stable institutional environment for economic stability and growth.

In response to the economic challenges, Pakistan's new Prime Minister, Shehbaz Sharif, has instructed his government to initiate talks with the IMF for a new programme, following the completion of the $3 billion stand-by arrangement.

(With Reuters inputs.)