Via IMF (Den Internationale Valutafond)

Statement by IMF Managing Director Kristalina Georgieva on Pakistan

March 26, 2020

Washington, DC –
Ms. Kristalina Georgieva, Managing Director of the International Monetary
Fund (IMF) issued the following statement:

“The authorities have continued their reform efforts to address Pakistan’s
economic challenges, but progress is being threatened by the devastating
effects of the COVID-19 outbreak and the deterioration in global economic
and financial conditions. Prime Minister Khan and his government have
swiftly approved an economic stimulus package aimed at containing the
spread of the virus and providing support to affected families and
businesses. Similarly, the State Bank of Pakistan has adopted a timely set
of measures, including a lowering of the policy rate, new refinancing
facilities to support the flow of credit, and temporary regulatory relief

“To support these efforts and ensure prompt and adequate relief to the
people and the economy, the Government of Pakistan has requested financial
assistance under the Fund’s Rapid Financing Instrument (RFI). This
emergency financing will allow the government to address additional and
urgent balance of payments needs and support policies that would make it
possible to direct funds swiftly to Pakistan’s most affected sectors,
including social protection, daily wage earners, and the healthcare system.
Our team is working expeditiously to respond to this request so that a
proposal can be considered by the IMF’s Executive Board as soon as

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“In parallel, the authorities have reaffirmed their commitment to the
reform policies included in the current arrangement under the Extended Fund
Facility (EFF). These reforms are crucial to boost Pakistan’s growth
potential to deliver broad based benefits for all Pakistanis, especially
the most vulnerable segments of the population.

“The Fund stands ready to continue to support the authorities’ efforts to
implement much-needed economic and structural reforms aimed at fostering
strong and sustainable growth.”

IMF Communications Department

PRESS OFFICER: Olga Stankova

Phone: +1 202 623-7100Email: