US to help Pakistan revive IMF deal21 June 2022, 11:45 am
The United States has agreed to help Pakistan negotiate a deal with the International Monetary Fund (IMF) amidst unprecedented economic instability in the country, reported local media, citing diplomatic sources. In order to muster international aid for the looming economic crisis in the country under the new Shehbaz Sharif government, Islamabad is seeking Washington’s support to revive its Extended Fund Facility (EFF) with the IMF.
Being the largest stakeholder of the IMF, the US exercises considerable influence over the global lender’s daily operations and is expected to catalyse the process. As per reports by the Dawn newspaper, Pakistan signed a 39-month USD 6 billion EFF in July 2019, but IMF halted the process of roughly USD 3 billion after the previous Imran Khan-led Pakistan Tehreek-e-Insaf (PTI) government backed out of its commitments.