Preparatory work on RSF under way: IMF

ISLAMABAD: Pakistan and the International Monetary Fund (IMF) are engaged in preparatory work for Resilience and Sustainability Facility (RSF), which would be considered by the Fund Executive Board.

This was stated by Julie Kozack, Director of the Communications Department, IMF, while addressing at a press briefing.

In reply to a question regarding RSF, the IMF official stated, “Pakistan has indeed inquired about an RSF arrangement. This is the Resilience and Sustainability Facility. Our team and the authorities are engaged in preparatory work.

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But I should just mention that considerable background work is needed to complete the discussions around any potential RSF. And of course, like any program, an RSF would, of course, need to be considered by our Executive Board. “

She further stated that on September 25th, the Executive Board approved new 37-month $7 billion EFF arrangements. The key priorities under the EFF include strengthening policymaking, building economic and climate resilience, and advancing reforms to support stronger, sustained, and more inclusive growth.

“The IMF team was just in Pakistan and finished a mission. It was a staff visit from November 12th to 15th, and the staff at the end of that visit felt encouraged by the authorities, who reaffirmed commitment to the program,” she added.

Replying to another question regarding revenue shortfall, the IMF said that this is something that the team will be assessing as part of the full review mission that will take place. So, as the review mission takes place later on, the team will assess all of the targets under the program, including those on the fiscal side.

Now, why there was a staff visit at this point, under Pakistan’s EFF, the reviews are only taking place semi-annually; so that’s twice a year. In some cases, we have programs where reviews take place quarterly. In Pakistan’s case, it’s semi-annual. And it’s very customary to have a short staff visit in between those two semi-annual review missions. So, this is a standard procedure, she added.

Copyright Business Recorder, 2024