Dhaka, Bangladesh (BBN)– Bangladesh will hold discuss further with an International Monetary Fund (IMF) mission for its US$1.0 billion loan to shore up the country’s balance of payments and boost economic growth, officials said.
An IMF team, lead by David Cowen, deputy division chief of IMF for Asia-Pacific, will visit Bangladesh March 1-12 for its program discussions, they added.
In December 2010, the Washington-based lender agreed to lend Bangladesh $1 billion under its Extended Credit Facility (ECF) program for a three year period, subject to approval of the lender’s management and executive board.
Authorities concerned, including those in the Bangladesh Bank (BB), the country’s central bank, are now doing the homework to negotiate with the IMF mission, considering the country’s latest economic situation.
As part of the preparations, different departments of the central bank have been asked to complete their works and make relevant data available, before the arrival of the IMF team.
“We’re now taking preparations for discussions with the IMF mission about its promised $1.0 billion loan,” a BB senior official said, adding that the issues like the latest position of the country’s overall balance of payments position, foreign exchange cash flow and overdraft facility will be discussed between the IMF team and the BB officials.
Besides, stocks of arrears on external debt contracted or guaranteed by the public sector, along with stocks of domestic debts including the outstanding balance of treasury bills, treasury bonds and national saving certificates, will be reviewed at the upcoming discussions, the central bank officials confirmed.
Currently, three T-bills are being transacted through auctions to adjust the government borrowing from the banking system.
The T-bills have 91-day, 182-day and 364-day maturity periods.
On the other hand, four government bonds – 5-year, 10-year, 15-year and 20-year –are being traded in the markets.
BBN/SI/AD-26Feb11-8:10 pm (BST)
