The delegation of International Monetary Fund (IMF) and Bangladesh authorities have reached a staff-level agreement to support the country’s economic policies – with a 42-month arrangement – with about $3.2 billion under extended credit facility and extended fund facility as well as $1.3 billion under resilience and sustainability facility, reports UNB.
A staff-level agreement means that the IMF team and the negotiating team of a sovereign country, in this case Bangladesh, are able to reach a deal on said country’s overall economic programme incorporating the loan, its disbursement schedule, and the planned reforms and policies.
This will then be presented to the IMF executive board.
The loan to preserve macroeconomic stability and support strong, inclusive and green growth, while protecting the vulnerable in the country.
According to IMF, the resilience and sustainability facility (RSF) is expected to provide affordable, long-term financing to support Bangladesh’s climate investment needs, catalyse climate financing, and reduce balance of payment pressures from import-intensive climate investment.
At the request of Bangladesh, IMF mission led by Rahul Anand visited Dhaka from October 26 to November 9, 2022, to discuss IMF’s support for Bangladesh and the authorities’ comprehensive economic reform agenda.
Bd-pratidin English/Golam Rosul
