IMF deal to improve funding prospects for Pakistan: Moody’s

Global rating agency Moody’s on Tuesday said that Pakistan’s staff-level agreement with the International Monetary Fund (IMF)“ improves funding prospects, but ability to sustain reforms key to easing liquidity risks“. The Shehbaz Sharif-led government and the IMF reached a three-year, $7 billion aid package deal on Saturday, the Washing­ton-based institution said, giving much-needed respite to the nation. In a comment regarding the new deal with the IMF, Moody’s said, “the new IMF programme will improve Pakistan’s (Caa3 stable) funding prospects. “The programme will provide credible sources of financing from the IMF and catalyse funding from other bilateral and multilateral partners to meet Pakistan’s external financing needs.”