Bangladesh is going to fulfil the International Monetary Fund’s condition on foreign exchange reserves in June on the back of record budget assistance from global creditors, the first time since the IMF approved its $4.7 billion loan programme more than a year ago.
The International Monetary Fund (IMF) has suggested greater exchange rate flexibility to preserve reserve adequacy, warning failure to do so may create further imbalances in the currency market.
Bangladesh will have to comply with 33 new conditions by June next year in order to receive the next two instalments under the International Monetary Fund’s $4.7 billion loan programme.
The International Monetary Fund yesterday approved the third tranche of $1.15 billion loans in a boost to Bangladesh’s foreign exchange reserves.
Bangladesh may receive $1.15 billion in the third instalment of the International Monetary Fund’s (IMF) loan in the last week of June, which will give a much-needed relief to the country’s dwindling foreign exchange reserves.
The latest proposal was made to the IMF’s visiting mission yesterday during a joint meeting with officials of the finance division and central bank at the finance ministry in Dhaka.
The government is likely to ask the International Monetary Fund (IMF) to revise down two key targets related to Net International Reserves (NIR) and tax revenue collection, set for June this year for the release of the fourth tranche of its $4.7 billion loan, finance ministry officials said.
The minimum net international reserves (NIR) will also remain below the threshold when an IMF mission visits Dhaka next week to review the progress of the programme before releasing around $681 million in the third tranche in May.
Bangladesh is going to fulfil the International Monetary Fund’s condition on foreign exchange reserves in June on the back of record budget assistance from global creditors, the first time since the IMF approved its $4.7 billion loan programme more than a year ago.
The International Monetary Fund (IMF) has suggested greater exchange rate flexibility to preserve reserve adequacy, warning failure to do so may create further imbalances in the currency market.
Bangladesh will have to comply with 33 new conditions by June next year in order to receive the next two instalments under the International Monetary Fund’s $4.7 billion loan programme.
The International Monetary Fund yesterday approved the third tranche of $1.15 billion loans in a boost to Bangladesh’s foreign exchange reserves.
Bangladesh may receive $1.15 billion in the third instalment of the International Monetary Fund’s (IMF) loan in the last week of June, which will give a much-needed relief to the country’s dwindling foreign exchange reserves.
The latest proposal was made to the IMF’s visiting mission yesterday during a joint meeting with officials of the finance division and central bank at the finance ministry in Dhaka.
The government is likely to ask the International Monetary Fund (IMF) to revise down two key targets related to Net International Reserves (NIR) and tax revenue collection, set for June this year for the release of the fourth tranche of its $4.7 billion loan, finance ministry officials said.
The minimum net international reserves (NIR) will also remain below the threshold when an IMF mission visits Dhaka next week to review the progress of the programme before releasing around $681 million in the third tranche in May.