The IMF delegation has reached Islamabad for meeting with the government. The International Monetary Fund (IMF) led by Herald Finger has arrived at Pakistan on Thursday morning to have talks with the government.
The delegation and the government would be discussing the economic issues during their meeting scheduled to occur today, as per the reports of local media.
Asad Umar—the finance minister has earlier said that the discussion would not be regarding negotiations for a loan, the intention is to do homework, so that in case if at some point of time IMF needs to be approached then there would be no issue.
Previously, Pakistan ruled out all such ideas that it would be using any funds from a possible bailout from IMF—the United States based international lender, for paying its debts to China.
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As per a government official instead, Pakistan would be using the funds for providing finance to its imports.
Abdul Qadir Memon—Pakistan’s counsel general in Hong Kong said that if the United States heatedly objects to an IMF bailout, we would be convincing them that this money would not be going to China, as per the reports of Nikkei Asian Review.
He also said that it would go to balance our external accounts so that Pakistan would be able to maintain its imports for the next year or so.
In the month of August, the US Secretary of State—Mike Pompeo warned that any possible IMF bailout for Pakistan’s new government should not in any way be providing funds to pay off the Chinese lenders.
Pompeo in an interview to CNBC said that no mistakes should be made, as they would be monitoring what IMF does. He said that the American dollars are part of the IMF funding, so there is no justification for them to go to bail out Chinese bondholders or China itself.