Pakistan to get $4 billion from friendly countries to shore up reserves: Finance Minister Miftah Ismail

Depleting reserves, a widening current account deficit and the rupee’s depreciation against the dollar have left the nation facing a balance-of-payments crisis.

Pakistan is likely to get $4 billion from friendly countries this month to bridge a gap in foreign reserves highlighted by the International Monetary Fund, Finance Minister Miftah Ismail has said, two days after the cash-strapped nation reached a deal with the global lender for the revival of a $6 billion loan facility.

Mr. Ismail on Saturday referred to the shortfall in foreign reserves highlighted by the International Monetary Fund (IMF), Dawn newspaper said.

“As per the IMF, there is a $4 billion gap,” the minister said.

“We will, God willing, fill this gap in the month of July,” he said.

“We think that we will get $1.2bn in deferred oil payment from a friendly country. We think that a foreign country will invest between $1.5bn to $2bn in stocks on a G2G (government-to-government) basis, and another friendly country will perhaps give us gas on deferred payment and yet another friendly country will make some deposits," he said without naming the friendly nations.

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Pakistan on Thursday reached a preliminary staff-level agreement with the IMF for the revival of the $6 billion loan facility.