IMF will provide 4.5 billion dollar loan assistance to Bangladesh

Nov 9, 2022 05:02 310

POSTCARD DESK .

The International Monetary Fund staff and the Bangladesh authorities have reached a staff-level agreement to support Bangladesh's economic policies with a 42-month arrangement of about $3.2 billion under the Extended Credit Facility and the Extended Fund Facility as well as of about US$1.3 billion under the Resilience and Sustainability Facility.

IMF confirmed this in a statement on Wednesday on the final day its two-week long mission in Bangladesh.

The objectives of Bangladesh’s new Fund-supported program are to preserve macroeconomic stability and support strong, inclusive, and green growth, while protecting the vulnerable, the IMF statement said.

A staff-level agreement means that the IMF team and the negotiating team of a sovereign country, in this case Bangladesh, are able to reach a deal on a country’s overall economic programme incorporating the loan, its disbursement schedule, and the planned reforms and policies.

This will then be presented to the IMF executive board.

The RSF is expected to provide affordable, long-term financing to support Bangladesh’s climate investment needs, catalyse climate financing, and reduce balance of payment pressures from import-intensive climate investment.

At the request of Bangladesh government, an International Monetary Fund mission led by Rahul Anand visited Dhaka from October 26 to November 9 to discuss the IMF’s support for Bangladesh and the authorities’ comprehensive economic reform agenda.

Khaled / postcard;