4th IMF loan tranche due in February

 
The International Monetary Fund, or IMF, will release the fourth tranche of its ongoing loan programme, amounting to $645 million, following the approval the executive board at a meeting in February. Chris Papageorgiou, chief of the Development Macroeconomics Division in the Research Department of the IMF, made the announcement at a press conference at the finance ministry on Thursday, bdnews24 reports.

Before the release of the fourth instalment, a 13-strong delegation came to review the progress of the reform proposals made by the IMF on Bangladesh's economy.

Before returning, they held a press conference at the ministry.

Regarding the release of the money, the head of the IMF delegation said the proposal for the release of the tranche will be raised at the IMF Executive Board meeting on Feb 5. It will be distributed once it is approved.

Papageorgiou said, "The overall picture of Bangladesh's economy is still not very promising. Inflation remains out of control for a long time. The current inflation rate of 9.6 percent is much higher than the IMF's estimate. Bangladesh Bank will have to play a more active role in controlling the crisis."
He said the IMF is positive about providing assistance to Bangladesh. However, the growth of domestic income and the reform of the banking sector must continue.

Regarding the printing of new currency notes, he said: "The printing of new money is also a matter of concern. It may bring a temporary relief, but not for a long time."