Bangladesh secures $4.7 billion from IMF as Pakistan, Sri Lanka see delays

People arrive for the IMF/World Bank Annual Fall Meetings Plenary Session in Washington, US, on October 18, 2019. (AFP/File)
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Updated 05 February 2023
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Bangladesh secures $4.7 billion from IMF as Pakistan, Sri Lanka see delays

  • Bangladesh has seen a sharp widening of its current account deficit, depreciation of its currency
  • Pakistan, IMF negotiations expected to begin from today as Islamabad seeks to shore up its foreign reserves

The International Monetary Fund (IMF) has approved loans of $4.7 billion to Bangladesh for disbursal starting immediately, making it the first to secure such funds out of three South Asian countries that applied last year amid economic trouble.

The loans are a win for Prime Minister Sheikh Hasina ahead of a general election early next year and will help the country, which has seen a sharp widening of its current account deficit, depreciation of the taka currency and a decline in its foreign exchange reserves.

Bangladesh will get about $3.3 billion under the IMF's extended credit facility and related arrangements, with an immediate disbursement of about $476 million. The IMF executive board also approved about $1.4 billion under its newly created Resilience and Sustainability Facility for climate investments for Bangladesh, the first Asian country to access it.

The IMF said the loans will "protect macroeconomic stability and rebuild buffers, while helping to advance the authorities’ reform agenda". The agenda includes creating fiscal space to enable greater social and developmental spending, strengthening Bangladesh's financial sector, boosting fiscal and governance reforms and building climate resilience.

"Since independence, Bangladesh has made steady progress in reducing poverty and significant improvements in living standards," Antoinette M. Sayeh, the IMF's deputy managing director, said in a statement.

"However, the COVID-19 pandemic and subsequent Russia’s war in Ukraine interrupted this long period of robust economic performance," Sayeh added. "Multiple shocks have made macroeconomic management challenging in Bangladesh."

The country last year also sought $2 billion from the World Bank and the Asian Development Bank amid efforts to bolster its foreign exchange reserves.

Bangladesh's regional counterparts, Sri Lanka and Pakistan, are doing much worse economically but have not been able to get final approval for IMF loans.

Bangladesh's current account deficit hit a record $18.7 billion in the last financial year, which ended on June 30, as exports of garments failed to offset a surge in energy costs. The Bangladesh central bank expects the deficit to fall to about $6.8 billion at the end of the current fiscal year.

The government has also raised fuel and energy prices in recent months as it approached the IMF. It announced a 5% increase in retail power prices from Wednesday, the second such rise this month.


Pakistan unveils advanced anti-rape cell in Karachi to boost conviction rate in sexual violence cases

Updated 7 sec ago
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Pakistan unveils advanced anti-rape cell in Karachi to boost conviction rate in sexual violence cases

  • The model cell is an improved version of a pilot project launched in the southern Pakistani city last year
  • A medical legal department at the center of the new cell will work with the police, empower prosecution

KARACHI: Less than eight months after the inauguration of the pioneering Anti-Rape Crisis Cell in Pakistan’s southern Sindh province, authorities on Tuesday unveiled a model cell to address legal cases involving sexual- and gender-based violence.
According to War Against Rape, a non-profit organization, Pakistan witnessed 5,279 reported rape cases in 2021, with less than three percent resulting in convictions, highlighting the urgent need for such initiatives.
Dr. Summaiya Syed, Police Surgeon Karachi, said recent measures in the province, including the Sindh Sexual Violence Response Framework of 2021 and the launch of the pilot Anti-Rape Crisis Cell last year, had shown promising progress, taking the conviction rate in cases of sexual violence from five to 15 percent.
“It offers separate spaces which weren’t really available in the pilot project,” she said after the launch of the model cell at the Jinnah Postgraduate Medical Hospital in a ceremony attended by the provincial health minister, Dr. Azra Pehechu, as the chief guest.
“Now we have better a space, better organization, better referral pathways, better connections between those referral pathways and better availability of resources,” she added.
Dr. Syed said they had learned several things from the pilot project which were utilized while setting up the new establishment.
“We hope that here since now we have dedicated referral pathways, dedicated SOPs [standard operating procedures] will be followed,” she added. “I have better staff provisions over here. We hope to take that [conviction ratio] higher.”
Maliha Zia, Associate Director Legal Aid Society, said facilities like anti-rape cells generate proper and effective evidence in cases of rape which can be used during the prosecution stage.
She said the government of Sindh, along with the police and the judiciary, had been working extensively for the last three years on improving the state’s response to rape cases.
The initiatives taken by the provincial authorities, she added, included training of medical staff to understand the role that they need to play during the trial and the necessary changes they need to make while reporting these cases.
“All this work has culminated in the establishment of an anti-rape crisis cell which not only puts together the medical legal department at the center, a capacitated medical legal department, but connects it directly with the police and prosecution to make an effective case,” Zia continued, adding strong medical evidence and solitary statement of the survivor would result in conviction rates.


Pakistan’s top court resumes hearing on alleged intelligence interference in judiciary

Updated 30 April 2024
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Pakistan’s top court resumes hearing on alleged intelligence interference in judiciary

  • The Supreme Court took up the case after six high court judges accused powerful spy agencies of intimidating them
  • Chief Justice Qazi Faez Isa says that judgments and court orders ‘shout’ on their own if there has been any meddling

ISLAMABAD: Pakistan’s top court on Tuesday resumed the hearing of a case involving accusations by six high court judges of interference and intimidation by the country’s powerful intelligence agencies in judicial matters.

The Supreme Court of Pakistan took up the case after six out of the eight Islamabad High Court judges accused the military’s Inter-Services Intelligence (ISI) agency of intimidating and coercing them over legal cases, particularly those with significant political consequences.

The judges provided various examples of alleged interference, including a case concerning Pakistan’s imprisoned former prime minister, Imran Khan. They also mentioned incidents where they said their relatives were abducted and tortured, and their homes were secretly surveilled, aiming to coerce them into delivering favorable judgments in specific cases.

Chief Justice of Pakistan (CJP) Qazi Faez Isa, who has repeatedly noted that judicial meddling would not be tolerated, mentioned that such interference could occur in multiple ways.

“Interference can be from within and without, from intelligence agencies, from one’s colleagues and family members or from social media,” he said.

He maintained that judgments and court orders “shout” on their own if there has been interference.

The CJP initially constituted a seven-member bench that last heard the matter on April 3. However, the bench had to be reconstituted after Justice Yahya Afridi recused himself.

Prior to that, the top Supreme Court judge also discussed the matter with Prime Minister Shehbaz Sharif, during which it was decided to form an inquiry commission.

However, a former Pakistan chief justice, Tassaduq Hussain Jillani, who was asked to head the commission, recused himself, asking the Supreme Court to deal with the issue on an institutional level.


Pakistani actress Mahira Khan bags ‘Artist in Fashion’ award at EMIGALA ceremony in Dubai 

Updated 37 min 8 sec ago
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Pakistani actress Mahira Khan bags ‘Artist in Fashion’ award at EMIGALA ceremony in Dubai 

  • EMIGALA awards in Dubai acknowledge creative and innovative impacts in the beauty and fashion industries
  • With a string of successful projects in film and TV, Mahira Khan is considered Pakistan’s most successful actress 

ISLAMABAD: Pakistani actress Mahira Khan bagged the “Artist in Fashion” award at the recently held prestigious EMIGALA awards in Dubai, where some of the world’s biggest names in fashion and beauty worldwide were honored. 

Khan was in attendance at the award ceremony held at Festival Bay in Dubai on Apr. 27 and 28. The event featured an array of A-list attendees such as Brazilian-American beauty personality Camila Coelho, Lebanese-British fashion entrepreneur Karen Wazen, Dubai Bling star Loujain Adada, social media sensation Narins Beauty, Indian singer Arjit Singh and Khan, among others. 

The EMIGALA awards acknowledge the creative and innovative impacts of global celebrities in the realms of beauty and fashion.

“The Artist in Fashion, Mahira Khan,” Emi Gala Awards wrote on Instagram with a picture of Khan posing with her trophy on Monday. 

Khan is counted among Pakistan’s most prolific actresses, gaining widespread recognition for her work in her country’s entertainment industry. The Pakistani actress became a household name after a string of successful drama serials following which she forayed into movies and made her mark across the border in India. 

She had her Bollywood debut opposite iconic actor Shah Rukh Khan in a crime action film, “Raees,” which was released in 2017. The Pakistani celebrity was also working on other Indian movie projects, though they could not take off when relations between the two countries deteriorated in 2016 after an Indian army brigade headquarters came under attack in Uri. The administration in New Delhi suspected Pakistan’s involvement which was denied by officials in Islamabad.

In 2021 Khan achieved another milestone when she debuted at the Cannes Film Festival, representing L’Oreal Paris Hair in her country. She has also represented various renowned local brands such as Elan, Zohra Rahman, and Menahel and Mehreen. 
 


Death toll from heavy rains in northwestern Pakistan surges to 92

Updated 30 April 2024
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Death toll from heavy rains in northwestern Pakistan surges to 92

  • Heavy rains in Pakistan’s northwest have injured 110, destroyed 4,200 houses since Apr. 10, says authority
  • Prone to natural disasters, Pakistan consistently ranks among countries most affected by impacts of climate change

PESHAWAR: The death toll from rain-related incidents in Pakistan’s northwestern Khyber Pakhtunkhwa (KP) province since Apr. 10 has surged to 92 while the number of injured has increased to 116, a spokesperson of the Provincial Disaster Management Authority (PDMA) confirmed on Tuesday. 

The rains which began on Apr. 10 have destroyed 4,200 houses and damaged 5,900 others, PDMA spokesperson Anwar Shehzad shared. At least 17 people have been killed and 23 injured in rain-related incidents over the past three days, as per data from the PDMA’s latest report on Tuesday. 

The report said the 17 dead included nine men, three women and five children while the 23 injured included nine men, three women and 11 children. Deaths and financial losses due to heavy rains were reported in Bajaur, Swat, Mansehra, Battagram, Dir Lower, Malakand, Lakki Marwat, Shangla, Mohmand and South Waziristan districts, the PDMA report added. 

“At least 92 persons have died including women, children, and elderly people while 116 others were wounded since Apr. 10 in incidents involving roof collapse and lightning in parts of the province,” Shehzad told Arab News.

The PDMA’s report said the authority, district administrations and relief teams are engaged in relief activities in the affected districts. “The PDMA has also directed district administrations of the affected districts to provide immediate financial support to the victims,” it added. 

Pakistan has received heavy rains this month that have triggered landslides and flash floods in several parts of the country.

The eastern province of Punjab has reported 21 lighting- and roof collapse-related deaths, while Balochistan, in the country’s southwest, reported at least 15 deaths this month from torrential rains. 

In 2022, unprecedented rains swelled Pakistan’s rivers and at one point flooded a third of the country, killing 1,739 people. The floods also caused over $30 billion in damages, from which Pakistan is still trying to rebuild.

Pakistan has been prone to natural disasters and consistently ranks among the most severely affected countries in the world due to the effects of climate change.


Pakistani PM says IMF approval of $1.1 billion funding to bring economic stability

Updated 30 April 2024
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Pakistani PM says IMF approval of $1.1 billion funding to bring economic stability

  • Funding is last tranche of a $3 billion standby arrangement with the IMF secured last year
  • Islamabad is seeking a new, larger long-term Extended Fund Facility agreement with the IMF

ISLAMABAD: Prime Minister Shehbaz Sharif said on Tuesday the International Monetary Fund’s approval of $1.1 billion in funding for Pakistan would bring economic stability, amid discussions for a new bailout loan.

The funding is the second and last tranche of a $3 billion standby arrangement with the IMF, which Islamabad secured last summer to help avert a sovereign default.

The approval came a day after Sharif discussed a new loan program with IMF Managing Director Kristalina Georgieva on the sidelines of the World Economic Forum in Riyadh.

“Sharif expressed his satisfaction over the release of the last financial tranche of the IMF today,” the Prime Minister’s Office (PMO) said in a statement. “Receiving the last tranche of 1.1 billion dollars from the IMF will bring more economic stability in Pakistan.”

This is the second Stand-by Arrangement (SBA) for short-term financial assistance that Pakistan has completed, the last one being in 2016 during the government of three-time PM Nawaz Sharif, who is Sharif’s elder brother. 

“Bitter and difficult decisions were taken for the economic security of Pakistan, but their fruits are coming in the form of economic stability,” Sharif added about reforms under the IMF program.

The $350 billion economy faces a chronic balance of payments crisis, with nearly $24 billion to repay in debt and interest over the next fiscal year — three-time more than its central bank’s foreign currency reserves.

Islamabad is seeking a new, larger long-term Extended Fund Facility (EFF) agreement with the fund after the current standby arrangement expires this month, and continuing with necessary policy reforms to rein in deficits, build up reserves and manage soaring debt servicing.