The International Monetary Fund is holding talks with the Government of Tajikistan for the resumption of concessional lending to the Republic.
A delegation of the Fund, led by the head of the IMF mission for Tajikistan, Pajama Handelwal, arrived in the republic to discuss the new assistance program "Extended Credit Mechanism" (ECF), the press service of the National Bank of Tajikistanreports.
Representatives of the Fund discussed issues related to the opening of the new program, with the first deputy chairman of the NBT, Jamoliddin Nuraliev.
The deputy head of the Tajik regulator informed the guests about the development and prospects of the country's macroeconomic indicators, the development of the monetary, financial and real sectors.
He drew the attention of the representatives of the Fund to the prospects of remittances, the establishment of financial and trade relations with Turkey and Uzbekistan at a qualitatively new level, the implementation of the Rogun project and related agreements, the requirements for external financing in the coming years (2019-2021).
Nuraliev also informed about plans to place the next installments of Eurobonds on international markets.
It is expected that representatives of the IMF during their visit will meet with the leadership of other relevant ministries and departments of the republic to study economic reform programs.
Pajama Handelwal noted that the mission will make efforts to expand cooperation and implement a new program of assistance to the country.
While everything is going according to plan
Previously, the NBT management stated that it expects the resumption of concessional lending to the country by the IMF already in the second half of this year.
«Almost all the prerequisites put forward by the Foundation for obtaining a soft loan under the new program "Extended Credit Mechanism" have been met», – told reporters in late July, Jamoliddin Nuraliev.
He noted that in July of last year a working group was created from among the staff of the relevant ministries and agencies that dealt with the implementation of the IMF's preconditions.
Nuraliev stressed that almost all conditions have been met, in particular, new legislative acts have been adopted in the banking sector, the strategy of the fiscal policy of the Ministry of Finance and other measures.
He added that in September this year the next IMF mission will be held in Tajikistan, during which it is expected to reach specific agreements on a new support program for Tajikistan from the Fund.
Long-awaited help
The new program is planned to be directed to support the economic strategy of the Republic of Tajikistan, to achieve macroeconomic and financial stability along with economic growth and poverty reduction, as well as to maintain the balance of payments and the sustainability of the country's international reserves.
Negotiations on giving Tajikistan a soft loan under the new IMF program have been going on for several years.
The term of the previous three-year program, under which the IMF granted Tajikistan a soft loan of more than $ 160 million, was completed in July 2012.
Negotiations of the official delegation of Tajikistan with the IMF on the development of a new program within the framework of the mechanism began in October 2015.
Under the new program, Tajikistan intended to attract a soft loan of $ 500 million.
According to the results of the IMF mission to Tajikistan this May, representatives of the Fund said that the Tajik authorities are trying to discuss a possible program to support the country.
The final statement noted that negotiations on the new program could begin in the coming months, after "careful preparation of both sides, the Tajik authorities and IMF staff".
«They (the authorities of Tajikistan, – "AP") have already taken steps demonstrating the progress of the reforms in order to pave the way for negotiations on the program», – conclusion.
