Islamabad: Pakistan government Friday has rejected a proposal of International Monitory Fund (IMP) to raise the price of dollar upto Rs101 in the country.
According to sources, the IMF demanded Pakistan to raise the price of dollar against the rupee in the country, while the Pakistani officials expressed their reservations over the demand.
The Pakistani officials said that increasing the price of dollar would badly affect the ailing economy of the country and the balance of payment and trade defict would automatically increase.
It is to be mentioned here that the current situation occurred after Pakistan on Thursday paid back instalments of two loans worth $173.2 million to IMF, official sources confirmed.
On account of Standby Arrangement (SBA) programme, Pakistan made repayments to the tune of $146.9 million while in shape of another previous loan Islamabad repaid $26.3 million on Thursday. Another major instalment would become due on November 23 to the tune of around $394 million on account of SBA programme.
“Yes, we have paid back $146.9 million in shape of SBA and $26.3 million on account of another previous loans to the IMF,” State Bank of Pakistan (SBP) official confirmed.
However, talking to reporters, Advisor to Finance Ministry Rana Assad Amin said that Pakistan was not facing any problem for repaying its foreign loan obligation including the repayments to the IMF loan.
The official sources said that the major instalment would be due on November 23, 2012 to the tune of $258.4 million Special Drawing Rights (SDRs) which would be standing to the tune of $394 million keeping in view the existing Dollar versus SDR parity.
Pakistan’s foreign currency reserves held by the SBP stood at over $10 billion and because of repayments to the IMF loans, the rupee is under pressure against dollar.
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