India's digital public infrastructure, one of the biggest success stories of the country, has got a thumbs up from the International Monetary Fund. While praising India's digital public infrastructure, a recent paper by the IMF noted that the country's digital journey has "lessons for other countries embarking on their own digital transformation."

IMF paper hails India's public digital infrastructure

Kristalina Georgieva, the head of the International Monetary Fund (IMF), cautioned on Sunday that risks to financial stability had increased and emphasised the need for vigilance. The managing director of the IMF predicted that 2023 will be yet another hard year, with global economy dropping to below 3.0 percent as a result of the conflict in the Ukraine, monetary tightening, and pandemic's scarring

IMF chief Georgieva says risk to financial stability have increased

Bangladesh had sought loans from global agencies, including the International Monetary Fund, prompted by its dwindling foreign exchange reserves caused by rising import bills. How much money did India gave to build this cross-border energy pipeline. Watch this report

India-Bangladesh friendship pipeline, explained | Inside South Asia

Egypt, sapped dry of dollars despite a $3 billion International Monetary Fund bailout loan, is seeking to boost its coffers by selling state assets to wealthy Gulf nations.

Egypt to sell state assets on Dollar crunch

The International Monetary Fund (IMF) and Pakistan have failed to reach a clear agreement to unlock the crucial $1.1 billon in terms of bailout funds and this comes just hours after local media had reported that all matters had been settled and the Prime Minister Shehbaz Sharif has also approved the deal.

IMF delegation in Pakistan to discuss bailout fund, seeks more time to conclude deal

Pakistan's Prime Minister Shehbaz Sharif on Friday said that the government has no choice but to agree to bailout conditions of IMF that are &nbsp;"beyond imagination".&nbsp;A delegation from International Monetary Fund (IMF) landed on Tuesday in Pakistan for the last talks to revive the months-stalled financial aid.

The government has opposed the demands of the IMF related to tax rise and subsidiary slashing, as it fears backlash before the elections which are scheduled in October.

ALSO READ | <a href="https://www.wionews.com/south-asia/pakistanis-call-for-intelligence-chiefs-removal-over-peshawar-mosque-blast-failure-557781">Pakistanis call for intelligence chief's removal after Peshawar mosque blast</a>

"I will not go into the details but will only say that our economic challenge is unimaginable. The conditions we will have to agree to with the IMF are beyond imagination. But we will have to agree with the conditions," said Sharif, in televised comments.

The economy of Pakistan is in dire conditions, hit by the balance of payments crisis as the government is trying to manage high levels of external debt, amid deteriorating security and political chaos.&nbsp;

The central bank of the country on Thursday announced a drop in foreign exchange reserves to $3.1 billion, which analysts stated is sufficient for less than three weeks of imports.&nbsp;

On Wednesday, the data showed the&nbsp;year-on-year inflation at a 48-year high due to which Pakistanis have been struggling to purchase basic food items.&nbsp;

WATCH | Gravitas: Pakistan is heading for a civil war

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The control&nbsp;on the rupee was also loosened by the government to rein in the black market in US dollars which led to the currency dropping to a record low.&nbsp;

"Accepting IMF conditions will definitely increase prices, but Pakistan has no other choice. Otherwise, there is a fear of a situation like Sri Lanka and Lebanon," said analyst Abid Hasan.&nbsp;

(With inputs from agencies)

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Pakistan's Prime Minister Shehbaz Sharif on Friday said that the government has no choice but to agree to bailout conditions of IMF that are "beyond imagination".

Pakistan's Prime Minister Shehbaz Sharif on Friday said that the government has no choice but to agree to bailout conditions of IMF that are "beyond imagination". A delegation from International Monetary Fund (IMF) landed on Tuesday in Pakistan for the last talks to revive the months-stalled financial aid. The government has opposed the demands of the IMF related to tax rise and subsidiary slashing, as it fears backlash before the elections which are scheduled in October. ALSO READ | Pakistanis call for intelligence chief's removal after Peshawar mosque blast "I will not go into the details but will only say that our economic challenge is unimaginable. The conditions we will have to agree to with the IMF are beyond imagination. But we will have to agree with the conditions," said Sharif, in televised comments. The economy of Pakistan is in dire conditions, hit by the balance of payments crisis as the government is trying to manage high levels of external debt, amid deteriorating security and political chaos. The central bank of the country on Thursday announced a drop in foreign exchange reserves to $3.1 billion, which analysts stated is sufficient for less than three weeks of imports. On Wednesday, the data showed the year-on-year inflation at a 48-year high due to which Pakistanis have been struggling to purchase basic food items. WATCH | Gravitas: Pakistan is heading for a civil war The control on the rupee was also loosened by the government to rein in the black market in US dollars which led to the currency dropping to a record low. "Accepting IMF conditions will definitely increase prices, but Pakistan has no other choice. Otherwise, there is a fear of a situation like Sri Lanka and Lebanon," said analyst Abid Hasan. (With inputs from agencies) You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here. WATCH WION LIVE HERE

Pakistan ‘will have to agree’ to IMF’s bailout conditions though it will trigger price rise: PM Sharif

The International Monetary Fund (IMF) on Wednesday said that China still has room to adjust its strict zero-Covid policy, pointing out that the nation's stringent policies have been especially hard on the people.

In an email statement to AFP a spokesperson for IMF, "Covid and Covid-related restrictions are hard on people... This has been the case everywhere, and even more so in China."

Watch |&nbsp;World Business Watch: China's factory, service activities shrink to 7 month low

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The organisation said that Chinese authorities have made policies more targeted, and "there is scope for further gradual, safe recalibration."

Three years into the pandemic, when many countries have eased covid containment measures like lockdowns, China still regularly deploys such measures, locking up entire neighbourhoods and cities to eradicate the virus. These strict measures come with a heavy toll on citizens and the nation's economy.

Also read |&nbsp;<a href="https://www.wionews.com/world/chinese-government-relaxes-covid-19-rules-in-several-districts-in-guangzhou-538833">Chinese government relaxes COVID-19 rules in several districts of Guangzhou</a>

IMF said that China's economy has partially recovered and an adjustment of its policy may help growth in 2023, while also supporting the global economy.

For a large part of this year, the Chinese major business hub has been under lockdown. This has not only impacted Beijing's economy but also the global markets, and supply chains.

Also read |&nbsp;<a href="https://www.wionews.com/world/3-years-of-covid-was-his-entire-life-in-china-child-dies-due-to-lockdown-rules-father-offered-hush-money-530653">'3 years of COVID was his entire life': In China, child dies due to lockdown rules, father offered hush money</a>

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Recently, following reports of deaths due to these lockdowns people have protested, raging across the nation in a "rare outpouring" of anger.&nbsp;A fire in a high-rise building in Xinjiang that killed ten people last week reportedly acted as a catalyst for these protests. Many have alleged that a partial lockdown on the building fatally delayed rescue operations and also obstructed escape routes.

(With inputs from agencies)

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The International Monetary Fund (IMF) on Wednesday said that China still has room to adjust its strict zero-Covid policy, pointing out that the nation's stringent policies have been especially hard on the people.

The International Monetary Fund (IMF) on Wednesday said that China still has room to adjust its strict zero-Covid policy, pointing out that the nation's stringent policies have been especially hard on the people. In an email statement to AFP a spokesperson for IMF, "Covid and Covid-related restrictions are hard on people... This has been the case everywhere, and even more so in China." Watch | World Business Watch: China's factory, service activities shrink to 7 month low The organisation said that Chinese authorities have made policies more targeted, and "there is scope for further gradual, safe recalibration." Three years into the pandemic, when many countries have eased covid containment measures like lockdowns, China still regularly deploys such measures, locking up entire neighbourhoods and cities to eradicate the virus. These strict measures come with a heavy toll on citizens and the nation's economy. Also read | Chinese government relaxes COVID-19 rules in several districts of Guangzhou IMF said that China's economy has partially recovered and an adjustment of its policy may help growth in 2023, while also supporting the global economy. For a large part of this year, the Chinese major business hub has been under lockdown. This has not only impacted Beijing's economy but also the global markets, and supply chains. Also read | '3 years of COVID was his entire life': In China, child dies due to lockdown rules, father offered hush money Recently, following reports of deaths due to these lockdowns people have protested, raging across the nation in a "rare outpouring" of anger. A fire in a high-rise building in Xinjiang that killed ten people last week reportedly acted as a catalyst for these protests. Many have alleged that a partial lockdown on the building fatally delayed rescue operations and also obstructed escape routes. (With inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

China can adjust its strict zero-Covid policy, it's been hard on people, says IMF

The International Monetary Fund (IMF) said on Tuesday that the global economic growth is expected to slow down by almost 0.2 percentage points in comparison to its July forecast. According to the latest data, the global economy will grow by 2.7 per cent in 2023 resulting in recession in some countries.&nbsp;&nbsp;

“The worst is yet to come, and for many people 2023 will feel like a recession,” the report said.&nbsp;

In the past year, the global economic growth has been severely affected by the COVID-19 pandemic as well as the Russian invasion of Ukraine. With the world facing acute food and fuel shortages, the IMF said that the latest prediction is the “the weakest growth profile since 2001”, according to Reuters.&nbsp;

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IMF Growth Forecast: 2023 
 
USA🇺🇸: 1% 
Germany🇩🇪: -0.3% 
France🇫🇷: 0.7% 
Italy🇮🇹: -0.2% 
Spain🇪🇸: 1.2% 
Japan🇯🇵: 1.6% 
UK🇬🇧: 0.3% 
Canada🇨🇦: 1.5% 
China🇨🇳: 4.4% 
India🇮🇳: 6.1% 
Russia🇷🇺: -2.3% 
Brazil🇧🇷: 1% 
Mexico🇲🇽: 1.2% 
KSA🇸🇦: 3.7% 
Nigeria🇳🇬: 3% 
RSA🇿🇦: 1.1%<a href="https://t.co/VBrRHOfbIE">https://t.co/VBrRHOfbIE</a> <a href="https://twitter.com/hashtag/WEO?src=hash&amp;ref_src=twsrc%5Etfw">#WEO</a> <a href="https://t.co/0TDJbgSuka">pic.twitter.com/0TDJbgSuka</a>
— IMF (@IMFNews) <a href="https://twitter.com/IMFNews/status/1579820463563603974?ref_src=twsrc%5Etfw">October 11, 2022</a></blockquote>
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The report also added the economic slowdown in China as one of the potential reasons behind the current financial crisis. With the Chinese government imposing tough restrictions on the citizens to stop the Covid infection from spreading, the economy has taken a massive hit in the past couple of years.&nbsp;

While major economies like the United States and China are expected to show extremely slow growth in 2023, the Indian economy is expected to grow by 6.1 per cent. If the trend holds true, India is currently enroute to becoming one of the fastest-growing economies in the world by the next year.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/world/g7-to-hold-crisis-talks-on-russias-bomb-assault-on-kyiv-524408" hreflang="en">G7 to hold crisis talks on Russia's bomb assault on Kyiv</a>

Back in July, the IMF said that India can grow by 7.4 per cent in the current financial year.&nbsp;

“For emerging markets and developing economies, the shocks of 2022 will re-open economic wounds that were only partially healed following the pandemic,” the report said.&nbsp;

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The International Monetary Fund (IMF) said on Tuesday that the global economic growth is expected to slow down by almost 0.2 percentage points in comparison to its July forecast.

The International Monetary Fund (IMF) said on Tuesday that the global economic growth is expected to slow down by almost 0.2 percentage points in comparison to its July forecast. According to the latest data, the global economy will grow by 2.7 per cent in 2023 resulting in recession in some countries. “The worst is yet to come, and for many people 2023 will feel like a recession,” the report said. In the past year, the global economic growth has been severely affected by the COVID-19 pandemic as well as the Russian invasion of Ukraine. With the world facing acute food and fuel shortages, the IMF said that the latest prediction is the “the weakest growth profile since 2001”, according to Reuters. IMF Growth Forecast: 2023 USA🇺🇸: 1% Germany🇩🇪: -0.3% France🇫🇷: 0.7% Italy🇮🇹: -0.2% Spain🇪🇸: 1.2% Japan🇯🇵: 1.6% UK🇬🇧: 0.3% Canada🇨🇦: 1.5% China🇨🇳: 4.4% India🇮🇳: 6.1% Russia🇷🇺: -2.3% Brazil🇧🇷: 1% Mexico🇲🇽: 1.2% KSA🇸🇦: 3.7% Nigeria🇳🇬: 3% RSA🇿🇦: 1.1%https://t.co/VBrRHOfbIE #WEO pic.twitter.com/0TDJbgSuka — IMF (@IMFNews) October 11, 2022 × The report also added the economic slowdown in China as one of the potential reasons behind the current financial crisis. With the Chinese government imposing tough restrictions on the citizens to stop the Covid infection from spreading, the economy has taken a massive hit in the past couple of years. While major economies like the United States and China are expected to show extremely slow growth in 2023, the Indian economy is expected to grow by 6.1 per cent. If the trend holds true, India is currently enroute to becoming one of the fastest-growing economies in the world by the next year. Also read | G7 to hold crisis talks on Russia's bomb assault on Kyiv Back in July, the IMF said that India can grow by 7.4 per cent in the current financial year. “For emerging markets and developing economies, the shocks of 2022 will re-open economic wounds that were only partially healed following the pandemic,” the report said.

IMF cuts 2023 global growth to 2.7%, India set to be one of fastest-growing economies

Prime Minister Ranil Wickremesinghe told parliament Tuesday that Sri Lanka is bankrupt and the acute pain of its unprecedented economic crisis will linger until at least the end of next year.

After the government ran out of foreign currency to import vital goods, the island nation's 22 million people have endured months of galloping inflation and lengthy power cuts.

Warning of a deep recession,&nbsp;Wickremesinghe said&nbsp;acute shortages of food, fuel, and medicine will continue in the&nbsp;once-prosperous country.

Addressing the Sri Lankan parliament, the premier said "We will have to face difficulties in 2023 as well. This is the truth. This is the reality."&nbsp;

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Depending on finalising a debt restructuring plan with creditors by August, Sri Lanka's ongoing bailout talks with the International Monetary Fund will determine its future.

"We are now participating in the negotiations as a bankrupt country," Wickremesinghe said.

"Due to the state of bankruptcy our country is in, we have to submit a plan on our debt sustainability to them separately. Only when (the IMF) are satisfied with that plan can we reach an agreement."

However, before a deal is struck on a funding arrangement to address its balance of payments crisis, more work is needed to set the nation's finances right and repair its runaway fiscal deficit, according to IMF.

In an effort to conserve fuel, Sri Lanka is currently almost completely without petrol and the government has shut down non-essential public services.

To cope with food shortages and record prices, the United Nations estimates that about 80 per cent of the public are skipping meals.

(With inputs from agencies)

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Prime Minister Ranil Wickremesinghe told parliament Tuesday that Sri Lanka is bankrupt and the acute pain of its unprecedented economic crisis will linger until at least the end of next year.

Prime Minister Ranil Wickremesinghe told parliament Tuesday that Sri Lanka is bankrupt and the acute pain of its unprecedented economic crisis will linger until at least the end of next year. After the government ran out of foreign currency to import vital goods, the island nation's 22 million people have endured months of galloping inflation and lengthy power cuts. Warning of a deep recession, Wickremesinghe said acute shortages of food, fuel, and medicine will continue in the once-prosperous country. Addressing the Sri Lankan parliament, the premier said "We will have to face difficulties in 2023 as well. This is the truth. This is the reality." × Depending on finalising a debt restructuring plan with creditors by August, Sri Lanka's ongoing bailout talks with the International Monetary Fund will determine its future. "We are now participating in the negotiations as a bankrupt country," Wickremesinghe said. "Due to the state of bankruptcy our country is in, we have to submit a plan on our debt sustainability to them separately. Only when (the IMF) are satisfied with that plan can we reach an agreement." However, before a deal is struck on a funding arrangement to address its balance of payments crisis, more work is needed to set the nation's finances right and repair its runaway fiscal deficit, according to IMF. In an effort to conserve fuel, Sri Lanka is currently almost completely without petrol and the government has shut down non-essential public services. To cope with food shortages and record prices, the United Nations estimates that about 80 per cent of the public are skipping meals. (With inputs from agencies) Watch WION's live TV here:

Sri Lanka economic crisis: Ranil Wickremesinghe admits Colombo is bankrupt

The head of Tunisia's powerful UGTT trade union confederation on Thursday rejected conditions set by the International Monetary Fund for a new loan to bail out the country's struggling economy.

"We reject the conditions set by the IMF, given Tunisians' low salaries, lack of means, rising poverty and unemployment," Noureddine Taboubi told reporters.

The global lender has called for "ambitious reforms" to tackle the heavily indebted country's public finances and reform its state-owned companies.

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/pakistan-and-imf-reach-agreement-on-bailout-programme-490590">Pakistan and IMF reach agreement on bailout programme</a>

The IMF's regional chief Jihad Azour said on Wednesday that the fund was set to begin formal talks on a new financial aid package "in the coming weeks", saying the economic fallout from the Ukraine war made it ever more pressing.

Azour had reiterated an IMF call for "swift implementation of ambitious reforms", saying Tunisia "needs to urgently tackle its fiscal imbalances" including by replacing generalised subsidies with transfers targeting the poor.

But on Thursday Taboubi, whose union members last week staged a crippling public sector strike, said the UGTT rejected "the painful options they're talking about".

"We support reforms, but we don't share the vision of reforms supported by this government," he said.

Watch |&nbsp;Judges in Tunisia are up in arms; Tunisian President sacked 57 Judges

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He also indirectly criticised President Kais Saied, who in July last year sacked the previous administration and suspended parliament in moves opponents have called a coup against the only democracy to emerge from the Arab Spring uprisings.

The UGTT, a co-laureate of the Nobel Peace Prize for its efforts in a previous national dialogue following Tunisia's 2011 revolution, initially backed Saied's moves but has become increasingly critical as Saied extended his power grab.

On Thursday, Taboubi said,&nbsp;"When there is a government produced by institutions and elections, it will have the legitimacy to start negotiations over reforms."

Also read |&nbsp;<a href="https://www.wionews.com/world/sri-lanka-in-talks-with-imf-about-possible-bailout-as-nation-wide-shutdown-begins-489933">Sri Lanka in talks with IMF about possible bailout as nation-wide shutdown begins</a>

The IMF has previously conditioned any bailout deal on the union's consent.&nbsp;

Azour visited Tunisia this week, meeting with President Kais Saied and other officials, and welcomed government plans to start tackling dire economic issues exacerbated by the war in Ukraine.

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The head of Tunisia's powerful UGTT trade union confederation on Thursday rejected conditions set by the International Monetary Fund for a new loan to bail out the country's struggling economy.

The head of Tunisia's powerful UGTT trade union confederation on Thursday rejected conditions set by the International Monetary Fund for a new loan to bail out the country's struggling economy. "We reject the conditions set by the IMF, given Tunisians' low salaries, lack of means, rising poverty and unemployment," Noureddine Taboubi told reporters. The global lender has called for "ambitious reforms" to tackle the heavily indebted country's public finances and reform its state-owned companies. Also read | Pakistan and IMF reach agreement on bailout programme The IMF's regional chief Jihad Azour said on Wednesday that the fund was set to begin formal talks on a new financial aid package "in the coming weeks", saying the economic fallout from the Ukraine war made it ever more pressing. Azour had reiterated an IMF call for "swift implementation of ambitious reforms", saying Tunisia "needs to urgently tackle its fiscal imbalances" including by replacing generalised subsidies with transfers targeting the poor. But on Thursday Taboubi, whose union members last week staged a crippling public sector strike, said the UGTT rejected "the painful options they're talking about". "We support reforms, but we don't share the vision of reforms supported by this government," he said. Watch | Judges in Tunisia are up in arms; Tunisian President sacked 57 Judges He also indirectly criticised President Kais Saied, who in July last year sacked the previous administration and suspended parliament in moves opponents have called a coup against the only democracy to emerge from the Arab Spring uprisings. The UGTT, a co-laureate of the Nobel Peace Prize for its efforts in a previous national dialogue following Tunisia's 2011 revolution, initially backed Saied's moves but has become increasingly critical as Saied extended his power grab. On Thursday, Taboubi said, "When there is a government produced by institutions and elections, it will have the legitimacy to start negotiations over reforms." Also read | Sri Lanka in talks with IMF about possible bailout as nation-wide shutdown begins The IMF has previously conditioned any bailout deal on the union's consent. Azour visited Tunisia this week, meeting with President Kais Saied and other officials, and welcomed government plans to start tackling dire economic issues exacerbated by the war in Ukraine. WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Tunisia trade unions chief rejects IMF reforms, talks on a new package to start in 'coming weeks'

Pakistan is in the midst of an economic catastrophe, and the government has no idea how to salvage the country's economy. On Tuesday, the Pakistani government's desperation and irritation came to the fore when a Federal Minister urged citizens to cut their tea consumption in order to save the country's economy, which is on the verge of collapse.

In a news conference, Ahsan Iqbal declared, "I will appeal to the country to reduce one cup of tea," in an attempt to save the economy.

Ahsan Iqbal, Pakistan's Federal Minister for Planning, Development, and Special Incentives. 
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"میں یہ بھی قوم سے اپیل کروں گا کہ چائے کی ایک ایک پیالی کم کر دیں"۔معیشت بچانے کیلئے احسن اقبال کی عوام سے اپیل 
 
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— Siasat.pk (@siasatpk) <a href="https://twitter.com/siasatpk/status/1536600747571392513?ref_src=twsrc%5Etfw">June 14, 2022</a></blockquote>
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Pakistan is teetering on the brink of a major calamity. There was a long-running political crisis linked to terrorism, followed by a persistent economic crisis in which even their close ally China was failing to assist.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/pak-currency-stock-markets-take-a-hit-as-budget-fails-to-restore-investors-confidence-487798">Pakistan currency, stock markets take a hit as budget fails to restore investors confidence</a>

However, the country is presently in the midst of a severe economic downturn. Pakistan's new government is attempting to meet bailout criteria set by the International Monetary Fund by repaying $6.4 billion in debt over the next three years.

Watch |&nbsp;IMF calls Pakistan's budget 'problematic', urges to raise more direct taxes

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Pakistan has gone to the International Monetary Fund (IMF) 22 times in the past to request a bailout. However, genuine reform initiatives have been lacking, which is why they keep returning. Pakistan's foreign exchange reserves are rapidly diminishing. They've dropped by half in less than a year.

Pakistani netizens mock the Pakistani minister on social media

The video footage of a Pakistani minister's call to restrict tea consumption went viral in no time, and as expected, netizens were quick to mock him and the ruling regime. 
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A sensible suggestion considering the financial crisis, however, such demands can only come from ppl who themselves practice this austerity. Not from ppl who have spent 70 million on renovating PM house's swimming pool, giving lavish dinners using public money and maintaining <a href="https://t.co/KgCdBPZR1q">https://t.co/KgCdBPZR1q</a>
— Cornered Tiger (@SheikhKhiWala) <a href="https://twitter.com/SheikhKhiWala/status/1536626266119733248?ref_src=twsrc%5Etfw">June 14, 2022</a></blockquote>
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Woke up,had a cup of Chai in my hand and watched this Aristotle saying “Chai ki 2 2 pyalyan pini kam ker dein” Are you serious?We can leave everything but not Chai! What an incompetent lot has been imposed on us. Koi economic strategy layo Bongyan na maro! <a href="https://twitter.com/hashtag/%D8%A7%D9%85%D9%BE%D9%88%D8%B1%D9%B9%DA%88_%D8%AD%DA%A9%D9%88%D9%85%D8%AA_%D9%86%D8%A7%D9%85%D9%86%D8%B8%D9%88%D8%B1?src=hash&amp;ref_src=twsrc%5Etfw">#امپورٹڈ_حکومت_نامنظور</a> <a href="https://t.co/5fGLNpQdXw">https://t.co/5fGLNpQdXw</a>
— Madi Ahmed (IK’s overseas tigress) (@madi_ahm) <a href="https://twitter.com/madi_ahm/status/1536625933905444865?ref_src=twsrc%5Etfw">June 14, 2022</a></blockquote>
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This smart aleck, instead of creating a conducive environment and encouraging farmers to grow tea locally, asks people to reduce their tea intake. 🤡 <a href="https://t.co/e1mcPWT9mJ">https://t.co/e1mcPWT9mJ</a>
— M (@minimalfuss_) <a href="https://twitter.com/minimalfuss_/status/1536625673682436097?ref_src=twsrc%5Etfw">June 14, 2022</a></blockquote>
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Pakistan is in the midst of an economic catastrophe, and the government has no idea how to salvage the country's economy. On Tuesday, the Pakistani government's desperation and irritation came to the fore when a Federal Minister urged citizens to cut their tea consumption in order to save the country's economy, which is on the verge of collapse.

Pakistan is in the midst of an economic catastrophe, and the government has no idea how to salvage the country's economy. On Tuesday, the Pakistani government's desperation and irritation came to the fore when a Federal Minister urged citizens to cut their tea consumption in order to save the country's economy, which is on the verge of collapse. In a news conference, Ahsan Iqbal declared, "I will appeal to the country to reduce one cup of tea," in an attempt to save the economy. Ahsan Iqbal, Pakistan's Federal Minister for Planning, Development, and Special Incentives. "میں یہ بھی قوم سے اپیل کروں گا کہ چائے کی ایک ایک پیالی کم کر دیں"۔معیشت بچانے کیلئے احسن اقبال کی عوام سے اپیل Video Credit : @mugheesali81 pic.twitter.com/bcprIFDrTY — Siasat.pk (@siasatpk) June 14, 2022 × Pakistan is teetering on the brink of a major calamity. There was a long-running political crisis linked to terrorism, followed by a persistent economic crisis in which even their close ally China was failing to assist. Also read | Pakistan currency, stock markets take a hit as budget fails to restore investors confidence However, the country is presently in the midst of a severe economic downturn. Pakistan's new government is attempting to meet bailout criteria set by the International Monetary Fund by repaying $6.4 billion in debt over the next three years. Watch | IMF calls Pakistan's budget 'problematic', urges to raise more direct taxes Pakistan has gone to the International Monetary Fund (IMF) 22 times in the past to request a bailout. However, genuine reform initiatives have been lacking, which is why they keep returning. Pakistan's foreign exchange reserves are rapidly diminishing. They've dropped by half in less than a year. Pakistani netizens mock the Pakistani minister on social media The video footage of a Pakistani minister's call to restrict tea consumption went viral in no time, and as expected, netizens were quick to mock him and the ruling regime. A sensible suggestion considering the financial crisis, however, such demands can only come from ppl who themselves practice this austerity. Not from ppl who have spent 70 million on renovating PM house's swimming pool, giving lavish dinners using public money and maintaining https://t.co/KgCdBPZR1q — Cornered Tiger (@SheikhKhiWala) June 14, 2022 × Woke up,had a cup of Chai in my hand and watched this Aristotle saying “Chai ki 2 2 pyalyan pini kam ker dein” Are you serious?We can leave everything but not Chai! What an incompetent lot has been imposed on us. Koi economic strategy layo Bongyan na maro! #امپورٹڈ_حکومت_نامنظور https://t.co/5fGLNpQdXw — Madi Ahmed (IK’s overseas tigress) (@madi_ahm) June 14, 2022 × This smart aleck, instead of creating a conducive environment and encouraging farmers to grow tea locally, asks people to reduce their tea intake. 🤡 https://t.co/e1mcPWT9mJ — M (@minimalfuss_) June 14, 2022 × WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Cutting chai: Govt asks Pakistanis to reduce tea consumption

As per economists at Citigroup Inc. Pakistan's new budget and its plan to trim its deficit by cutting down on spending may not be enough to convince the International Monetary Fund (IMF) to resume its loan program. Bloomberg reports that in hopes of avoiding potential default, the South Asian nation is currently seeking a $900 million immediate disbursement from the IMF. As of June 3, the nation's foreign exchange reserves rest at below USD ten billion, only enough to cover less than two months of imports. The nation faces Asia's second-fastest inflation rate due to rising food and fuel prices.

Ahead of the meetings between Pakistan and IMF staff, in a note to clients Monday, Johanna Chua and Gaurav Garg of Citigroup wrote that the tax-to-GDP ratio is expected to climb to 9.2 per cent of GDP in the fiscal year beginning July 1 from 8.6 per cent.

Watch |&nbsp;IMF calls Pakistan's budget 'problematic', urges to raise more direct taxes

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They said that this appears modest compared to Pakistan's developing market counterparts and its own experience. Interest payments are expected to account for around 44 per cent of revenue, reports Bloomberg.

Chua and Garg further wrote that they await further information regarding the fund.

As per the nation's finance minister, Pakistan needs a minimum of $41 billion in the next 12 months. Analysts anticipate that these requirements will be met, but with some difficulty.

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/pak-currency-stock-markets-take-a-hit-as-budget-fails-to-restore-investors-confidence-487798">Pakistan currency, stock markets take a hit as budget fails to restore investors confidence</a>

On Friday, Pakistan released a 9.5 trillion Pakistani rupee ($47.12 billion) budget for 2022-23, focused on tight fiscal consolidation in order to persuade the International Monetary Fund (IMF).

Pakistan hopes to sign a staff level agreement with the IMF this month, according to Pakistan's finance minister Miftah Ismail.

The International Monetary Fund (IMF) has voiced concern about Pakistan's recently revealed budget, according to Ismail, but the administration is optimistic it can make revisions to satisfy the lender.

(With inputs from agencies)

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As per economists at Citigroup Inc. Pakistan's new budget and its plan to trim its deficit by cutting down on spending may not be enough to convince the International Monetary Fund (IMF) to resume its loan program.

As per economists at Citigroup Inc. Pakistan's new budget and its plan to trim its deficit by cutting down on spending may not be enough to convince the International Monetary Fund (IMF) to resume its loan program. Bloomberg reports that in hopes of avoiding potential default, the South Asian nation is currently seeking a $900 million immediate disbursement from the IMF. As of June 3, the nation's foreign exchange reserves rest at below USD ten billion, only enough to cover less than two months of imports. The nation faces Asia's second-fastest inflation rate due to rising food and fuel prices. Ahead of the meetings between Pakistan and IMF staff, in a note to clients Monday, Johanna Chua and Gaurav Garg of Citigroup wrote that the tax-to-GDP ratio is expected to climb to 9.2 per cent of GDP in the fiscal year beginning July 1 from 8.6 per cent. Watch | IMF calls Pakistan's budget 'problematic', urges to raise more direct taxes They said that this appears modest compared to Pakistan's developing market counterparts and its own experience. Interest payments are expected to account for around 44 per cent of revenue, reports Bloomberg. Chua and Garg further wrote that they await further information regarding the fund. As per the nation's finance minister, Pakistan needs a minimum of $41 billion in the next 12 months. Analysts anticipate that these requirements will be met, but with some difficulty. Also read | Pakistan currency, stock markets take a hit as budget fails to restore investors confidence On Friday, Pakistan released a 9.5 trillion Pakistani rupee ($47.12 billion) budget for 2022-23, focused on tight fiscal consolidation in order to persuade the International Monetary Fund (IMF). Pakistan hopes to sign a staff level agreement with the IMF this month, according to Pakistan's finance minister Miftah Ismail. The International Monetary Fund (IMF) has voiced concern about Pakistan's recently revealed budget, according to Ismail, but the administration is optimistic it can make revisions to satisfy the lender. (With inputs from agencies) Watch WION LIVE HERE: You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Reports suggest Pakistan budget may fall short of unlocking IMF loan

The International Monetary Fund said on Saturday it held "fruitful technical discussions" with Sri Lanka on its loan request, while the World Bank said it was preparing an emergency aid package for the crisis-stricken country.

Sri Lanka, an island country of 22 million people, is struggling to pay for imports amid a crushing debt crisis and sharp drop in foreign exchange reserves that has fueled soaring inflation. Prolonged power cuts and shortages of fuel, food and medicines have sparked nationwide protests.

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/sri-lankan-minister-godahewa-backs-demonstrators-asking-pm-mahinda-rajapaksa-to-step-down-473195" hreflang="en">Sri Lankan minister Godahewa changes camp, backs protests to seek PM's resignation</a>

Sri Lankan Finance Minister Ali Sabry has been in Washington this week talking to the IMF, the World Bank, India and others about financing help for his country, which has suspended payments on portions of its $51 billion in external debt.

The World Bank's emergency response package includes $10 million to be made immediately available for the purchase of essential medicines, funds shifted from its ongoing COVID-19 health preparedness project, a World Bank spokesperson said.

The global lender, which along with the IMF held its spring meetings this week, did not provide a total value for its package, but Sabry said on Friday that about $500 million in aid was being considered.

The World Bank spokesperson said the package would leverage existing bank-financed projects and repurpose funds to quickly provide medicines, meals for school children and cash transfers for poor and vulnerable households.

Support to provide cooking gas, basic food supplies, seeds and fertilizers and other essentials is also under discussion, the spokesperson said, adding that the World Bank was "deeply concerned" about the situation in Sri Lanka.

Watch |&nbsp;Sri Lankan Minister resigns two days after appointment amid the ongoing crisis

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The IMF said in a statement on Saturday that talks between its staff focused on the need for Sri Lanka to implement "a credible and coherent strategy" to restore macroeconomic stability, and to strengthen its social safety net and protect the poor and vulnerable during the current crisis.

"The IMF team welcomed the authorities' plan to engage in a collaborative dialogue with their creditors," IMF Sri Lanka mission chief Masahiro Nozaki said in a statement after the country took steps to explore a restructuring of some $12 billion in sovereign bonds

Sabry told reporters on Friday that the talks with the IMF were focused on a more traditional Extended Fund Facility program, but that $3 billion to $4 billion in bridge financing was needed while this could be finalized.

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/debt-ridden-sri-lankas-inflation-soared-to-a-record-high-473058" hreflang="en">Debt-ridden Sri Lanka's inflation soared to a record high</a>

The IMF has said that Sri Lanka's debt needs to be put on a sustainable path before it could make new loans to Colombo - a process that could require lengthy negotiations with China and the country's other creditors.

Sabry said on Friday that in addition to the IMF loan and World Bank assistance, Sri Lanka is discussing with India some $1.5 billion in bridge financing to help continue essential imports, and added that he has also approached China, Japan and the Asian Development Bank for help.

The International Monetary Fund said on Saturday it held "fruitful technical discussions" with Sri Lanka on its loan request, while the World Bank said it was preparing an emergency aid package for the crisis-stricken country.

The International Monetary Fund said on Saturday it held "fruitful technical discussions" with Sri Lanka on its loan request, while the World Bank said it was preparing an emergency aid package for the crisis-stricken country. Sri Lanka, an island country of 22 million people, is struggling to pay for imports amid a crushing debt crisis and sharp drop in foreign exchange reserves that has fueled soaring inflation. Prolonged power cuts and shortages of fuel, food and medicines have sparked nationwide protests. Also read | Sri Lankan minister Godahewa changes camp, backs protests to seek PM's resignation Sri Lankan Finance Minister Ali Sabry has been in Washington this week talking to the IMF, the World Bank, India and others about financing help for his country, which has suspended payments on portions of its $51 billion in external debt. The World Bank's emergency response package includes $10 million to be made immediately available for the purchase of essential medicines, funds shifted from its ongoing COVID-19 health preparedness project, a World Bank spokesperson said. The global lender, which along with the IMF held its spring meetings this week, did not provide a total value for its package, but Sabry said on Friday that about $500 million in aid was being considered. The World Bank spokesperson said the package would leverage existing bank-financed projects and repurpose funds to quickly provide medicines, meals for school children and cash transfers for poor and vulnerable households. Support to provide cooking gas, basic food supplies, seeds and fertilizers and other essentials is also under discussion, the spokesperson said, adding that the World Bank was "deeply concerned" about the situation in Sri Lanka. Watch | Sri Lankan Minister resigns two days after appointment amid the ongoing crisis The IMF said in a statement on Saturday that talks between its staff focused on the need for Sri Lanka to implement "a credible and coherent strategy" to restore macroeconomic stability, and to strengthen its social safety net and protect the poor and vulnerable during the current crisis. "The IMF team welcomed the authorities' plan to engage in a collaborative dialogue with their creditors," IMF Sri Lanka mission chief Masahiro Nozaki said in a statement after the country took steps to explore a restructuring of some $12 billion in sovereign bonds Sabry told reporters on Friday that the talks with the IMF were focused on a more traditional Extended Fund Facility program, but that $3 billion to $4 billion in bridge financing was needed while this could be finalized. Also read | Debt-ridden Sri Lanka's inflation soared to a record high The IMF has said that Sri Lanka's debt needs to be put on a sustainable path before it could make new loans to Colombo - a process that could require lengthy negotiations with China and the country's other creditors. Sabry said on Friday that in addition to the IMF loan and World Bank assistance, Sri Lanka is discussing with India some $1.5 billion in bridge financing to help continue essential imports, and added that he has also approached China, Japan and the Asian Development Bank for help.

Sri Lanka economic crisis: IMF holds 'fruitful' loan discussions with Colombo, World Bank readies aid package

The International Monetary Fund on Tuesday (April 19) projected a growth rate of 8.2 per cent for India in 2022.

Earlier, the Ministry of Statistics and Programme Implementation had predicted a growth rate of 8.9 per cent in FY22.

According to IMF's World Economic Outlook report, "Notable downgrades to the 2022 forecast include Japan (0.9 percentage point) and India (0.8 percentage point), reflecting in part weaker domestic demand, as higher oil prices are expected to weigh on private consumption and investment, and a drag from lower net exports."

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IMF Growth Projections: 2022 
 
USA🇺🇸: 3.7% 
Germany🇩🇪: 2.1% 
France🇫🇷: 2.9% 
Italy🇮🇹: 2.3% 
Spain🇪🇸: 4.8% 
Japan🇯🇵: 3.3% 
UK🇬🇧: 3.7% 
Canada🇨🇦: 3.9% 
China🇨🇳: 4.4% 
India🇮🇳: 8.2% 
Russia🇷🇺: -8.5% 
Brazil🇧🇷: 0.8% 
Mexico🇲🇽: 2.0% 
KSA🇸🇦: 7.6% 
Nigeria🇳🇬: 3.4% 
RSA🇿🇦: 1.9%<a href="https://t.co/J6EVpjwBqt">https://t.co/J6EVpjwBqt</a> <a href="https://t.co/NqVHNWhUwv">pic.twitter.com/NqVHNWhUwv</a>
— IMF (@IMFNews) <a href="https://twitter.com/IMFNews/status/1516403490544750594?ref_src=twsrc%5Etfw">April 19, 2022</a></blockquote>
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The IMF has said that it has slashed the eurozone forecast as well due to the war in Ukraine which has adversely impacted the manufacturing sector and energy prices.&nbsp;

They also have a "relatively large manufacturing sectors and greater dependence on energy imports from Russia."

“The food and fuel price increases will hurt lower-income households globally—including in the Americas and Asia,” IMF said.

"The main channel through which the war in Ukraine and sanctions on Russia affect the euro area economy is rising global energy prices and energy security."&nbsp;

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"The war in Ukraine has triggered a costly humanitarian crisis that demands a peaceful resolution. At the same time, economic damage from the conflict will contribute to a significant slowdown in global growth in 2022 and add to inflation," it added.

It comes after European Central Bank reduced its growth forecast for 2022 to 3.7 percent from 4.2 percent previously predicted.

A similar prediction was made by the Organisation for Economic Cooperation and Development which said that if the war's impact proves to be lasting, eurozone growth risked being cut by up to 1.4 percentage points. Meanwhile, inflation would increase by 2.5 percentage points over a year.

“In addition to the war, frequent and wider-ranging lockdowns in China—including in key manufacturing hubs—have also slowed activity there and could cause new bottlenecks in global supply chains. Higher, broader, and more persistent price pressures also led to a tightening of monetary policy in many countries. Overall risks to economic prospects have risen sharply and policy trade-offs have become ever more challenging,” the IMF said.

“The economic effects of the war are spreading far and wide—like seismic waves that emanate from the epicenter of an earthquake—mainly through commodity markets, trade, and financial linkages,” it said.

(With inputs from agencies)

The International Monetary Fund on Tuesday (April 19) projected a growth rate of 8.2 per cent for India in 2022. Earlier, the Ministry of Statistics and Programme Implementation had predicted a growth rate of 8.

The International Monetary Fund on Tuesday (April 19) projected a growth rate of 8.2 per cent for India in 2022. Earlier, the Ministry of Statistics and Programme Implementation had predicted a growth rate of 8.9 per cent in FY22. According to IMF's World Economic Outlook report, "Notable downgrades to the 2022 forecast include Japan (0.9 percentage point) and India (0.8 percentage point), reflecting in part weaker domestic demand, as higher oil prices are expected to weigh on private consumption and investment, and a drag from lower net exports." IMF Growth Projections: 2022 USA🇺🇸: 3.7% Germany🇩🇪: 2.1% France🇫🇷: 2.9% Italy🇮🇹: 2.3% Spain🇪🇸: 4.8% Japan🇯🇵: 3.3% UK🇬🇧: 3.7% Canada🇨🇦: 3.9% China🇨🇳: 4.4% India🇮🇳: 8.2% Russia🇷🇺: -8.5% Brazil🇧🇷: 0.8% Mexico🇲🇽: 2.0% KSA🇸🇦: 7.6% Nigeria🇳🇬: 3.4% RSA🇿🇦: 1.9%https://t.co/J6EVpjwBqt pic.twitter.com/NqVHNWhUwv — IMF (@IMFNews) April 19, 2022 × The IMF has said that it has slashed the eurozone forecast as well due to the war in Ukraine which has adversely impacted the manufacturing sector and energy prices. They also have a "relatively large manufacturing sectors and greater dependence on energy imports from Russia." “The food and fuel price increases will hurt lower-income households globally—including in the Americas and Asia,” IMF said. "The main channel through which the war in Ukraine and sanctions on Russia affect the euro area economy is rising global energy prices and energy security." "The war in Ukraine has triggered a costly humanitarian crisis that demands a peaceful resolution. At the same time, economic damage from the conflict will contribute to a significant slowdown in global growth in 2022 and add to inflation," it added. It comes after European Central Bank reduced its growth forecast for 2022 to 3.7 percent from 4.2 percent previously predicted. A similar prediction was made by the Organisation for Economic Cooperation and Development which said that if the war's impact proves to be lasting, eurozone growth risked being cut by up to 1.4 percentage points. Meanwhile, inflation would increase by 2.5 percentage points over a year. “In addition to the war, frequent and wider-ranging lockdowns in China—including in key manufacturing hubs—have also slowed activity there and could cause new bottlenecks in global supply chains. Higher, broader, and more persistent price pressures also led to a tightening of monetary policy in many countries. Overall risks to economic prospects have risen sharply and policy trade-offs have become ever more challenging,” the IMF said. “The economic effects of the war are spreading far and wide—like seismic waves that emanate from the epicenter of an earthquake—mainly through commodity markets, trade, and financial linkages,” it said. (With inputs from agencies)

International Monetary Fund projects growth rate of 8% for India in 2022

In response to the COVID-19 pandemic, the International Monetary Fund on Thursday said it would extend its flexible access to emergency funding for an additional 18 months.

The Washington-based crisis lender said in a statement that its executive board agreed on Monday to raise its "cumulative access limits" under emergency financing instruments through June 2023.

Also read |&nbsp;<a href="https://www.wionews.com/business-economy/imf-chief-says-omicron-could-dent-global-economic-growth-434001">IMF chief says Omicron could dent global economic growth</a>

As the world faced the first wave of Coronavirus infections and deaths in April 2020, the IMF made such aid more easily accessible, including by increasing the amount of funding available to countries.

The programs have already been extended twice, once in September 2020 and once last March.

Moreover, the board decided that "all other access limits" which had been temporarily increased will return to their pre-pandemic levels on January 1, 2022, as originally scheduled.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/china-urges-imf-to-help-afghanistan-amid-rising-poverty-424826">China urges IMF to help Afghanistan amid rising poverty</a>

"This decision reflects the expected and ongoing gradual shift to upper-credit-tranche quality arrangements from emergency financing triggered by urgent, pandemic-related balance of payment needs," the IMF said.

In addition, the statement noted that the decision guarantees member countries access to IMF emergency financing should the urgent balance of payment issues arises.

One of the tools is the Rapid Credit Facility, a program that offers free loans to low-income countries, as well as the Rapid Financing Instrument, which is available to all members of the Fund.

Watch |&nbsp;‘They can go take a walk’: IMF closes its Brazil office after criticism

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In an emergency, member states can use these grants to implement policies as quickly as possible.

As part of a program designed to assist the world's poorest nations in weathering the economic crisis, the IMF approved the fifth and final round of debt relief on Monday.

(With inputs from agencies)

In response to the COVID-19 pandemic, the International Monetary Fund on Thursday said it would extend its flexible access to emergency funding for an additional 18 months.

In response to the COVID-19 pandemic, the International Monetary Fund on Thursday said it would extend its flexible access to emergency funding for an additional 18 months. The Washington-based crisis lender said in a statement that its executive board agreed on Monday to raise its "cumulative access limits" under emergency financing instruments through June 2023. Also read | IMF chief says Omicron could dent global economic growth As the world faced the first wave of Coronavirus infections and deaths in April 2020, the IMF made such aid more easily accessible, including by increasing the amount of funding available to countries. The programs have already been extended twice, once in September 2020 and once last March. Moreover, the board decided that "all other access limits" which had been temporarily increased will return to their pre-pandemic levels on January 1, 2022, as originally scheduled. Also read | China urges IMF to help Afghanistan amid rising poverty "This decision reflects the expected and ongoing gradual shift to upper-credit-tranche quality arrangements from emergency financing triggered by urgent, pandemic-related balance of payment needs," the IMF said. In addition, the statement noted that the decision guarantees member countries access to IMF emergency financing should the urgent balance of payment issues arises. One of the tools is the Rapid Credit Facility, a program that offers free loans to low-income countries, as well as the Rapid Financing Instrument, which is available to all members of the Fund. Watch | ‘They can go take a walk’: IMF closes its Brazil office after criticism In an emergency, member states can use these grants to implement policies as quickly as possible. As part of a program designed to assist the world's poorest nations in weathering the economic crisis, the IMF approved the fifth and final round of debt relief on Monday. (With inputs from agencies)

IMF extends emergency funding by 18 months to help nations struggling due to coronavirus

A couple of days back, Pakistan Prime Minister Imran Khan said the "biggest problem" is that the government doesn't have enough money to run the country. He added that the rising foreign debts and low tax revenue had become an issue of "national security".

A couple of days back, Pakistan Prime Minister Imran Khan said the "biggest problem" is that the government doesn't have enough money to run the country. He added that the rising foreign debts and low tax revenue had become an issue of "national security". Imran Khan said, "We don't have enough money to run our country due to which we have to borrow loans." A day after Khan described the increasing debt as a "national security issue", the State Bank of Pakistan (SBP) released the debt figures till September 2021. For the first time ever, Pakistan's total debt and liabilities crossed 50.5 trillion Pakistani rupees (PKR) - approximately $283 billion. It is an addition of PKR 20.7 trillion under the current government alone, Pakistan-based newspaper Express Tribune reported citing SBP data. ALSO READ | Where Afghanistan's new Taliban leaders went to school The figures have shown that the total debt and public debt of Pakistan have deteriorated during the current Pakistan Tehreek-e-Insaf (PTI) government. As per the mentioned newspaper, in June 2018, every Pakistani owed PKR 144,000. But now, it has increased to PKR 235,000 by September 2021. The increase is an additional burden of PKR 91,000 or 63 per cent during PTI's tenure. Two days after Khan's 'don't have money' remark, the International Monetary Fund (IMF) rejected Pakistan's borrowing request as it turned down the Pak government's proposal to allow it to take loans equal to 2 per cent of the gross domestic product (GDP) in a fiscal year. In a written reply to a question, the house was informed that the exchange rate depreciation added around PKR 2.9 trillion (20 per cent of the increase) in public debt while the government paid PKR 7.5 trillion against interest servicing which is 50 per cent of the increase in the total public debt, reported The News International, which is one of the largest English language newspapers in Pakistan. Inflation in Pakistan The South Asian nation has been reeling with increased prices of food items. Inflation surged 9.2 per cent in October from the year before, according to government data. Food-price inflation is crushing commoners in Pakistan as the cost of basic food items shot up this month by 17 per cent year over year, government data show. ALSO READ | Pakistan petroleum dealers launch nationwide strike against lower profit margins According to Muzzammil Aslam, a spokesman for the finance ministry, Pakistan imports about 80 per cent of its oil and diesel and about 35 per cent of its gasoline. The cost of electricity in Pakistan is already twice as much as in some of the neighbouring countries like India, China and Bangladesh. Mismanagement of funds? When common people struggling to get basic food items, Islamabad allocated $7.85bn for defence and merely $151m for health in the budget for the financial year 2020-2021. Imran Khan recently said that due to lack of resources the government had little to spend on the welfare of the masses. He said due to failure to generate local resources, the successive governments resorted to loans. The data from the Ministry of Economic Affairs showed that the borrowing was higher by $580 million, or 18 per cent, as compared to the loans obtained in the same period last year. In a recent report, the World Bank noted that Pakistan has joined the list of top ten nations with the largest foreign debts. × The question here is - the borrowing has increased but it's not reaching the common people. Where most of the funds are going? Pakistan is caught in a vicious cycle as it needs to borrow new funds to pay the old ones. The News International reported that the Imran Khan-led regime ideally required gross external financing of $51.6 billion within a two-year period (2021-2023) in order to fulfil its needs. Pakistan's gross external financing requirement stands at $23.6 billion in 2021-22 and $28 billion in 2022-23. Amid economic crisis, what's next for the debt-ridden nation? 1 PKR = 0.00567496 USD 1 USD = 176.213 PKR

Pakistan's debt and liabilities increase; govt 'doesn't have money': What's next for the debt-ridden nation?

IMF Managing Director Kristalina Georgieva said that the International Monetary Fund is estimating this month that global growth for 2021 will be about 6%, the same as forecast in April, but with some countries growing faster and others more slowly.

World Business Watch: IMF to keep 2021 global growth forecast at 6% says Kristalina Georgieva

In a global economy defined by extreme forms of inequality, the pandemic has widened the divide.

Now, fears that the world may emerge from the pandemic more unequal than ever have prompted a substantial effort to close the gap: Under a proposal nearing completion, the International Monetary Fund would issue $650 billion worth of reserve funds, essentially creating money that troubled countries could use to purchase vaccines, finance health care and pay down debt.

The IMF’s executive board is expected to advance the proposal during a meeting Friday before forwarding it for final approval to its board of governors, which comprises representatives of the fund’s 190 member nations. Officials hope it will gain final passage by August.

The International Monetary Fund’s approach involves not money but so-called special drawing rights — reserve funds that the institution credits to the accounts of its member nations. Governments can swap these SDRs for regular currency, to spend as needed.

Under the rules governing the IMF, member nations contribute to the institution’s coffers, with their obligations determined largely by the size of their economies. The new reserves would be distributed according to this ranking, meaning that the largest economic powers like the United States would gain the biggest tranche.

Fund officials are crafting a plan under which wealthier member countries would transfer some of their reserves to poorer countries to allow an expansion of debt reduction and poverty-fighting programs.

IMF managing director Kristalina Georgieva said the fund’s plan would rely on “encouraging voluntary channeling of some of the SDRs,” with a goal of yielding “$100 billion for the poorest and most vulnerable countries.”

The United States is prepared to make available about one-fifth of its allocation, worth approximately $20 billion, said a Treasury official who spoke on condition of anonymity. The Biden administration is seeking to persuade other members of the Group of 7 to contribute similar shares.

In Washington, the universal nature of the proposed allocation has stirred up opposition from Republicans, who argue that it would burnish the finances of U.S. adversaries like China, Russia and Iran while doing little to help poor countries.

Sen. John Kennedy, R-La., this month introduced a bill that would block special drawing rights allocations from going to “perpetrators of genocide and state sponsors of terrorism” without approval from Congress.

In a global economy defined by extreme forms of inequality, the pandemic has widened the divide. Now, fears that the world may emerge from the pandemic more unequal than ever have prompted a substantial effort to close the gap: Under a proposal nearing completion, the International Monetary Fund would issue $650 billion worth of reserve funds, essentially creating money that troubled countries could use to purchase vaccines, finance health care and pay down debt.

In a global economy defined by extreme forms of inequality, the pandemic has widened the divide. Now, fears that the world may emerge from the pandemic more unequal than ever have prompted a substantial effort to close the gap: Under a proposal nearing completion, the International Monetary Fund would issue $650 billion worth of reserve funds, essentially creating money that troubled countries could use to purchase vaccines, finance health care and pay down debt. The IMF’s executive board is expected to advance the proposal during a meeting Friday before forwarding it for final approval to its board of governors, which comprises representatives of the fund’s 190 member nations. Officials hope it will gain final passage by August. The International Monetary Fund’s approach involves not money but so-called special drawing rights — reserve funds that the institution credits to the accounts of its member nations. Governments can swap these SDRs for regular currency, to spend as needed. Under the rules governing the IMF, member nations contribute to the institution’s coffers, with their obligations determined largely by the size of their economies. The new reserves would be distributed according to this ranking, meaning that the largest economic powers like the United States would gain the biggest tranche. Fund officials are crafting a plan under which wealthier member countries would transfer some of their reserves to poorer countries to allow an expansion of debt reduction and poverty-fighting programs. IMF managing director Kristalina Georgieva said the fund’s plan would rely on “encouraging voluntary channeling of some of the SDRs,” with a goal of yielding “$100 billion for the poorest and most vulnerable countries.” The United States is prepared to make available about one-fifth of its allocation, worth approximately $20 billion, said a Treasury official who spoke on condition of anonymity. The Biden administration is seeking to persuade other members of the Group of 7 to contribute similar shares. In Washington, the universal nature of the proposed allocation has stirred up opposition from Republicans, who argue that it would burnish the finances of U.S. adversaries like China, Russia and Iran while doing little to help poor countries. Sen. John Kennedy, R-La., this month introduced a bill that would block special drawing rights allocations from going to “perpetrators of genocide and state sponsors of terrorism” without approval from Congress.

This is the plan to rescue poor countries from the pandemic

Data is the new gold has become a common phrase these days. Turns out, a few researchers at the International Monetary Fund agree.

Mega companies are now under radar for how they use user data. &nbsp;In a blog post for the IMF, four researchers put forward findings from a paper in the works which looks at the relationship between finance and tech, and how it is expected to grow.

Also read:&nbsp;<a href="http://13.235.153.162/business-economy/indias-economy-to-shrink-103-china-to-expand-19-this-year-imf-337061" hreflang="en">India's economy to shrink 10.3%, China to expand 1.9% this year: IMF</a>

Prepare yourself! The researchers claimed that one’s browsing history, purchase history, and search patterns should be used to decide the credit score of every user. They believe this would determine a way more accurate credit rating than it does right now.

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/imf-tells-g20-countries-to-keep-spending-on-covid-19-crisis-340022/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

They also ascertained that such a model would allow greater lending for borrowers which would have been denied for other reasons by traditional banks.

Fortunately, they don’t have sinister ideas in their minds, but simply believe that banking system as it exists right now faces a serious threat from tech companies like Facebook, Google, and Apple. These companies are facing more scrutiny across the globe for they use our data. 
 
Researchers found that such companies have a lot more access to soft-information, and that message based platforms could replace physical banks.

Also read:&nbsp;<a href="http://13.235.153.162/india-news/gdp-in-most-countries-to-recover-to-pre-pandemic-levels-by-2022-imf-335038" hreflang="en">GDP in most countries to recover to pre-pandemic levels by 2022: IMF</a> 
 
The logic behind this is that lenders really too heavily on hard data, which may paint a picture grimmer than reality for the borrower. But if the lender had access to browsing history, interests, and google searches - they would be able to ascertain the true value of lending money to borrowers!

The researchers did mention the privacy and policy shortcomings and worries that are part of such kind of policies. The study is still in its pilot phases, and perhaps soon, the researchers could pinpoint to a mechanism which would make this possible. Until then, fear not, and browse away!

Data is the new gold has become a common phrase these days. Turns out, a few researchers at the International Monetary Fund agree. Mega companies are now under radar for how they use user data.

Data is the new gold has become a common phrase these days. Turns out, a few researchers at the International Monetary Fund agree. Mega companies are now under radar for how they use user data. In a blog post for the IMF, four researchers put forward findings from a paper in the works which looks at the relationship between finance and tech, and how it is expected to grow. Also read: India's economy to shrink 10.3%, China to expand 1.9% this year: IMF Prepare yourself! The researchers claimed that one’s browsing history, purchase history, and search patterns should be used to decide the credit score of every user. They believe this would determine a way more accurate credit rating than it does right now. They also ascertained that such a model would allow greater lending for borrowers which would have been denied for other reasons by traditional banks. Fortunately, they don’t have sinister ideas in their minds, but simply believe that banking system as it exists right now faces a serious threat from tech companies like Facebook, Google, and Apple. These companies are facing more scrutiny across the globe for they use our data. Researchers found that such companies have a lot more access to soft-information, and that message based platforms could replace physical banks. Also read: GDP in most countries to recover to pre-pandemic levels by 2022: IMF The logic behind this is that lenders really too heavily on hard data, which may paint a picture grimmer than reality for the borrower. But if the lender had access to browsing history, interests, and google searches - they would be able to ascertain the true value of lending money to borrowers! The researchers did mention the privacy and policy shortcomings and worries that are part of such kind of policies. The study is still in its pilot phases, and perhaps soon, the researchers could pinpoint to a mechanism which would make this possible. Until then, fear not, and browse away!

IMF thinks your browsing history should be used to determine your credit score

The IMF on Thursday said that there is a need for another stimulus in India, especially expenditures on health, food and income support for vulnerable households, and support for businesses in view of the COVID-19 pandemic.

Gerry Rice, Director of Communications Department at the International Monetary Fund (IMF), told reporters at a virtual news conference here that the Washington-based global financial institution supports the Indian government's responses to the pandemic including fiscal stimulus with a focus on low income workers and households.

"We support the monetary easing and liquidity and regulatory measures for the financial sector and borrowers that have taken place.

"We believe further fiscal stimulus is warranted, especially expenditures on health, food and income support for vulnerable households, and support for businesses," Rice said, responding to questions on the massive contraction that the Indian economy has experienced in the latest quarter due to the coronavirus pandemic.

In the short term, a detailed well communicated and credible medium-term fiscal consolidation plan is also important, alongside an increase in fiscal transparency, the IMF spokesperson said.

"We hope that would help boost market confidence, thereby helping to reduce the cost of borrowing, as well as help the economy overall," he said.

Noting that the impact of the coronavirus pandemic is significant in India on development, and on poverty, Rice said that given the unprecedented shock, the immediate priority needs to be a coordinated policy response to fight the virus.

After the US, India has the second largest number of people who have been infected by coronavirus with more than 4.2 million positive cases. The US has the largest number with 6.4 million cases and 193,250 deaths.

Over 70,000 Indians have died due to coronavirus, as it has had an unprecedented impact on the India economy.

The preliminary GDP estimate for 2020, second quarter performance in India, came in weaker than expected, around 23 per cent as year on year, reflecting on the severe impact of the pandemic, and the ensuing lockdowns.

"The contraction and economic activity reflected broad base weaknesses in industries and services with construction, manufacturing, hotels and transportation sectors, suffering the most," Rice said.

In its last World Economic Outlook Update, the IMF projected India's growth at minus 4.5 per cent and six per cent for fiscal years 2020-21 and 2021-22 respectively, he said.

"The near-term growth outlook continues to be clouded by the global and domestic slowdown and uncertainties from the pandemic with significant downside risks. Of course, this is true, not just for India but for most countries," he said, adding that the IMF would be revising India's growth projections during the next World Economic Outlook release on the sidelines of the annual meeting of the IMF in October.&nbsp;

The IMF on Thursday said that there is a need for another stimulus in India, especially expenditures on health, food and income support for vulnerable households, and support for businesses in view of the COVID-19 pandemic.

The IMF on Thursday said that there is a need for another stimulus in India, especially expenditures on health, food and income support for vulnerable households, and support for businesses in view of the COVID-19 pandemic. Gerry Rice, Director of Communications Department at the International Monetary Fund (IMF), told reporters at a virtual news conference here that the Washington-based global financial institution supports the Indian government's responses to the pandemic including fiscal stimulus with a focus on low income workers and households. "We support the monetary easing and liquidity and regulatory measures for the financial sector and borrowers that have taken place. "We believe further fiscal stimulus is warranted, especially expenditures on health, food and income support for vulnerable households, and support for businesses," Rice said, responding to questions on the massive contraction that the Indian economy has experienced in the latest quarter due to the coronavirus pandemic. In the short term, a detailed well communicated and credible medium-term fiscal consolidation plan is also important, alongside an increase in fiscal transparency, the IMF spokesperson said. "We hope that would help boost market confidence, thereby helping to reduce the cost of borrowing, as well as help the economy overall," he said. Noting that the impact of the coronavirus pandemic is significant in India on development, and on poverty, Rice said that given the unprecedented shock, the immediate priority needs to be a coordinated policy response to fight the virus. After the US, India has the second largest number of people who have been infected by coronavirus with more than 4.2 million positive cases. The US has the largest number with 6.4 million cases and 193,250 deaths. Over 70,000 Indians have died due to coronavirus, as it has had an unprecedented impact on the India economy. The preliminary GDP estimate for 2020, second quarter performance in India, came in weaker than expected, around 23 per cent as year on year, reflecting on the severe impact of the pandemic, and the ensuing lockdowns. "The contraction and economic activity reflected broad base weaknesses in industries and services with construction, manufacturing, hotels and transportation sectors, suffering the most," Rice said. In its last World Economic Outlook Update, the IMF projected India's growth at minus 4.5 per cent and six per cent for fiscal years 2020-21 and 2021-22 respectively, he said. "The near-term growth outlook continues to be clouded by the global and domestic slowdown and uncertainties from the pandemic with significant downside risks. Of course, this is true, not just for India but for most countries," he said, adding that the IMF would be revising India's growth projections during the next World Economic Outlook release on the sidelines of the annual meeting of the IMF in October.

Further fiscal stimulus warranted in India, says IMF

Despite some signs of recovery, the global economy faces continued challenges, including the possibility of a second wave of COVID-19, and governments should keep their support programs in place, IMF chief Kristalina Georgieva said Thursday.

Activity "has started to gradually strengthen... But we are not out of the woods yet," Georgieva said in a message to G20 finance ministers ahead of their weekend meeting in Saudi Arabia.

Also read:&nbsp;<a href="https://www.wionews.com/business-economy/economic-impact-of-covid-19-in-india-has-been-substantial-imf-312308" hreflang="en">Economic impact of COVID-19 in India has been substantial: IMF</a>

The Washington-based crisis lender late last month downgraded its growth forecasts, and now expects global GDP to fall by 4.9 percent this year due to the deeper contraction during lockdowns than previously anticipated, and only a "tepid recovery is expected for next year."

Also read:&nbsp;<a href="https://www.wionews.com/business-economy/gold-steadies-near-more-than-8-year-peak-as-virus-cases-surge-311606" hreflang="en">Gold steadies near more than 8-year peak as virus cases surge</a>

The $11 trillion in stimulus provided by the G20 nations helped to prevent a worse outcome, but "these safety nets must be maintained as needed and, in some cases, expanded," Georgieva urged in a blog post.

She highlighted measures including paid sick leave for low-income families and access to health care and unemployment insurance.

But the recovery faces risks, she said, including the possibility of "a second major global wave of the disease could lead to further disruptions."&nbsp;

While she acknowledged that the "substantial and rising debt levels are a serious concern," Georgieva said, "At this stage in the crisis, however, the costs of premature withdrawal are greater than continued support where it is needed."

Many countries have moved to reopen, so, "Clearly, we have entered a new phase of the crisis," she said in a blog post, adding it will require "further policy agility and action to secure a durable and shared recovery."

Many jobs that have been lost amid the pandemic may never come back, so workers will need support and training to move into new sectors.

"The bottom line is that the pandemic is likely to increase poverty and inequality," she said but noted that policymakers have "a once-in-a-century shot" at building a better, greener and more equitable world.

Despite some signs of recovery, the global economy faces continued challenges, including the possibility of a second wave of COVID-19, and governments should keep their support programs in place, IMF chief Kristalina Georgieva said Thursday.

Despite some signs of recovery, the global economy faces continued challenges, including the possibility of a second wave of COVID-19, and governments should keep their support programs in place, IMF chief Kristalina Georgieva said Thursday. Activity "has started to gradually strengthen... But we are not out of the woods yet," Georgieva said in a message to G20 finance ministers ahead of their weekend meeting in Saudi Arabia. Also read: Economic impact of COVID-19 in India has been substantial: IMF The Washington-based crisis lender late last month downgraded its growth forecasts, and now expects global GDP to fall by 4.9 percent this year due to the deeper contraction during lockdowns than previously anticipated, and only a "tepid recovery is expected for next year." Also read: Gold steadies near more than 8-year peak as virus cases surge The $11 trillion in stimulus provided by the G20 nations helped to prevent a worse outcome, but "these safety nets must be maintained as needed and, in some cases, expanded," Georgieva urged in a blog post. She highlighted measures including paid sick leave for low-income families and access to health care and unemployment insurance. But the recovery faces risks, she said, including the possibility of "a second major global wave of the disease could lead to further disruptions." While she acknowledged that the "substantial and rising debt levels are a serious concern," Georgieva said, "At this stage in the crisis, however, the costs of premature withdrawal are greater than continued support where it is needed." Many countries have moved to reopen, so, "Clearly, we have entered a new phase of the crisis," she said in a blog post, adding it will require "further policy agility and action to secure a durable and shared recovery." Many jobs that have been lost amid the pandemic may never come back, so workers will need support and training to move into new sectors. "The bottom line is that the pandemic is likely to increase poverty and inequality," she said but noted that policymakers have "a once-in-a-century shot" at building a better, greener and more equitable world.

IMF chief warns global economy 'not out of woods yet'

The International Monetary Fund has updated its world economic outlook and a forecast for India is grim. Watch report.

IMF: Indian economy to contract 4.5% in 2020

In this segment of Straight Talk WION in an exclusive conversation spoke to IMF Chief Economist Gita Gopinath on coronavirus crisis hitting the developed and emerging economies. How the world economies are dealing with the coronavirus crisis?

WION exclusive Straight Talk with IMF Chief Economist Gita Gopinath on World Economy

In this segment of Straight Talk, WION in an exclusive conversation spoke to IMF Chief Economist Gita Gopinath on India's GDP growth in 2020.

WION exclusive Straight Talk with IMF Chief Economist  Gita Gopinath on Indian Economy

The pandemic Coronavirus (COVID-19) derail the global economy. The alarm bell rings at International Monetary Fund & the world bank.

Pandemic COVID-19 derail the global economy, pressure mounts on IMF & world bank

The coronavirus pandemic has derailed the global economy. And the pressure is building on World Bank and International Monetary Fund to help the poor countries. This report tells you how the world is coping with it.&nbsp;

These times are hard as one has not witnessed anything close to such a situation since the Great Depression in late 1920s and early 1930s.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/world/coronavirus-leaders-warn-africa-short-of-funds-to-fight-pandemic-293250">Coronavirus: Leaders warn Africa short of funds to fight pandemic</a>

In just three months, the entire condition of the economy changes. On January, the IMF said the world economy would grow nearly 3 per cent in 2020, now it says it's drained.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/business-economy/coronavirus-g20-agrees-to-provide-debt-relief-to-poorest-countries-292917">Coronavirus: G20 agrees to provide debt relief to poorest countries</a>

IMF says that the global economy would contract by 3 per cent this year.&nbsp;

Let's first look at South Asia.

According to IMF, in 2020 the region's grwoth rate would be zero, which is much worse than the crisis of 2008.&nbsp;

Even during the currency crisis, Easter and South Asia's greatest financial crisis in 1990s, the economy grew slightly more than one per cent.&nbsp;

Now, a glance at Latin America.

The IMF predicts the worst recession in half a century. Almost 33 per cent people could lose jobs in South America, which means over 200 million people can get unemployed.&nbsp;

In Africa, nearly 50 per cent of the jobs could be lost if no urgent action is taken.&nbsp;

The predictions look even gloomy for advanced economies. The IMF expects these nations' economy to shrink by at least 6 per cent this year.&nbsp;

The United Kingdom's economy could contract by 35 per cent this quarter.&nbsp;

The total output loss, including that of advanced and emerging economies, could be nine trillion dollars.&nbsp;

Who will bear these expenses?

So far, IMF has mobilised eight trillion dollars. But, there is a scarcity of public finances, especially in poorer countries.&nbsp;

Nearly, two trillion dollars more would be required to support developing countries. The IMF has already received 11 billion dollars from five countries, which are Japan, UK, France, Canada and Australia.&nbsp;

The G20 countries have already suspended debt payments. This will free up at east 20 billion dollars in poorer countries for fighting the pandemic.&nbsp;

Now, China has urged the World Bank for the same. Perhaps, China should lead by example.

The coronavirus pandemic has derailed the global economy. And the pressure is building on World Bank and International Monetary Fund to help the poor countries. This report tells you how the world is coping with it.

The coronavirus pandemic has derailed the global economy. And the pressure is building on World Bank and International Monetary Fund to help the poor countries. This report tells you how the world is coping with it. These times are hard as one has not witnessed anything close to such a situation since the Great Depression in late 1920s and early 1930s. Also read | Coronavirus: Leaders warn Africa short of funds to fight pandemic In just three months, the entire condition of the economy changes. On January, the IMF said the world economy would grow nearly 3 per cent in 2020, now it says it's drained. Also read | Coronavirus: G20 agrees to provide debt relief to poorest countries IMF says that the global economy would contract by 3 per cent this year. Let's first look at South Asia. According to IMF, in 2020 the region's grwoth rate would be zero, which is much worse than the crisis of 2008. Even during the currency crisis, Easter and South Asia's greatest financial crisis in 1990s, the economy grew slightly more than one per cent. Now, a glance at Latin America. The IMF predicts the worst recession in half a century. Almost 33 per cent people could lose jobs in South America, which means over 200 million people can get unemployed. In Africa, nearly 50 per cent of the jobs could be lost if no urgent action is taken. The predictions look even gloomy for advanced economies. The IMF expects these nations' economy to shrink by at least 6 per cent this year. The United Kingdom's economy could contract by 35 per cent this quarter. The total output loss, including that of advanced and emerging economies, could be nine trillion dollars. Who will bear these expenses? So far, IMF has mobilised eight trillion dollars. But, there is a scarcity of public finances, especially in poorer countries. Nearly, two trillion dollars more would be required to support developing countries. The IMF has already received 11 billion dollars from five countries, which are Japan, UK, France, Canada and Australia. The G20 countries have already suspended debt payments. This will free up at east 20 billion dollars in poorer countries for fighting the pandemic. Now, China has urged the World Bank for the same. Perhaps, China should lead by example.

What can happen to various economies due to coronavirus pandemic?

The IMF predicts that India will be the least affected by a global recession. Meanwhile, Austria has begun relaxing lockdown measures. WION's Palki Sharma gets you the biggest developments from across the world for Tuesday.

Gravitas: The big global developments for April 14 | Wuhan Coronavirus

The global economy will contract by 3% this year as countries around the world shrink at the fastest pace in decades

Is the world prepared for the worst recession

The International Monetary Fund on Monday announced immediate debt relief for 25 poor countries to help them free up funds to fight the coronavirus pandemic.

"This provides grants to our poorest and most vulnerable members to cover their&nbsp;IMF&nbsp;debt obligations for an initial phase over the next six months and will help them channel more of their scarce financial resources towards vital emergency medical and other relief efforts,"&nbsp;IMF&nbsp;Managing Director Kristalina Georgieva said in a statement.

Also read:&nbsp;<a href="https://www.wionews.com/world/coronavirus-is-10-times-deadlier-than-swine-flu-who-292313" hreflang="en">Coronavirus is 10 times deadlier than swine flu: WHO</a>

The&nbsp;IMF&nbsp;board approved the debt relief for the countries, nearly all in Africa, but also Afghanistan, Yemen, Nepal and Haiti.

The fund together with the World Bank have called for rich nations to stop collecting debt payments from poor countries from May 1 through June 2021.

Also read:&nbsp;<a href="https://www.wionews.com/world/worst-is-over-says-new-york-governor-as-covid-19-death-toll-crosses-10000-292316" hreflang="en">Worst is over, says New York governor as COVID-19 death toll crosses 10,000</a>

The debt relief will be funded by the&nbsp;IMF's Catastrophe Containment and Relief Trust (CCRT), which was first set up to combat the West Africa Ebola outbreak in 2015 and has been repurposed to help countries fend off COVID-19.

The fund currently has $500 million, with Japan, Britain, China and the Netherlands among its main contributors.

"I urge other donors to help us replenish the trust's resources and boost further our ability to provide additional debt service relief for a full two years to our poorest member countries," Georgieva said.

Last week, the World bank said it would roll out $160 billion in emergency aid over 15 months to help countries stricken by the virus, including $14 billion in debt repayments from 76 poor countries to other governments.

The International Monetary Fund on Monday announced immediate debt relief for 25 poor countries to help them free up funds to fight the coronavirus pandemic. "This provides grants to our poorest and most vulnerable members to cover their IMF debt obligations for an initial phase over the next six months and will help them channel more of their scarce financial resources towards vital emergency medical and other relief efforts," IMF Managing Director Kristalina Georgieva said in a statement.

The International Monetary Fund on Monday announced immediate debt relief for 25 poor countries to help them free up funds to fight the coronavirus pandemic. "This provides grants to our poorest and most vulnerable members to cover their IMF debt obligations for an initial phase over the next six months and will help them channel more of their scarce financial resources towards vital emergency medical and other relief efforts," IMF Managing Director Kristalina Georgieva said in a statement. Also read: Coronavirus is 10 times deadlier than swine flu: WHO The IMF board approved the debt relief for the countries, nearly all in Africa, but also Afghanistan, Yemen, Nepal and Haiti. The fund together with the World Bank have called for rich nations to stop collecting debt payments from poor countries from May 1 through June 2021. Also read: Worst is over, says New York governor as COVID-19 death toll crosses 10,000 The debt relief will be funded by the IMF's Catastrophe Containment and Relief Trust (CCRT), which was first set up to combat the West Africa Ebola outbreak in 2015 and has been repurposed to help countries fend off COVID-19. The fund currently has $500 million, with Japan, Britain, China and the Netherlands among its main contributors. "I urge other donors to help us replenish the trust's resources and boost further our ability to provide additional debt service relief for a full two years to our poorest member countries," Georgieva said. Last week, the World bank said it would roll out $160 billion in emergency aid over 15 months to help countries stricken by the virus, including $14 billion in debt repayments from 76 poor countries to other governments.

IMF approves debt relief for 25 poor countries to help them address coronavirus pandemic

The chief economist of the International Monetary Fund (IMF) Geeta Gopinath is addressing the media live. Watch video.

IMF's grim forecast for global economy: Chief economist Geeta Gopinath addresses media

The International Monetary Fund has made some dire predictions. The organisation says the world is staring at its worst recession in almost 100 years due to the coronavirus outbreak. tells you more.

Gravitas: Wuhan Coronavirus will unleash the worst recession since Great Depression

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