(Reuters) -The International Monetary Fund said on Monday that Bangladesh will have access to $1.33 billion as the fund has concluded a combined third and fourth review of the country under three facilities. Bangladesh will have immediate access to $884 million under the IMF’s Extended Credit Facility and Extended Fund Facility, and receive another $453 […]
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IMF says Bangladesh to receive $1.3 billion under third and fourth reviews
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(Reuters) -The International Monetary Fund said on Monday that Bangladesh will have access to $1.33 billion as the fund has concluded a combined third and fourth review of the country under three facilities.
Bangladesh will have immediate access to $884 million under the IMF’s Extended Credit Facility and Extended Fund Facility, and receive another $453 million under the Resilience and Sustainability Facility, the fund said.
IMF also approved an augmentation of 567.2 million special drawing rights or SDRs under its ECF and EFF arrangements with a six-month extension.
Bangladesh had requested the augmentation in May to address rising external financing needs and support macroeconomic stability.
“Bangladesh’s program performance has been broadly satisfactory despite the difficult political and economic context and increased downside risks,” the IMF said in a statement.
The move comes amid persistent macroeconomic pressures, including high inflation, low growth and an external financing gap.
Bangladesh turned to the IMF in 2023 for the $4.7 billion bailout as its foreign reserves were pressured by a global surge in commodity prices triggered by Russia’s invasion of Ukraine, straining its ability to pay for key imports of fuel and gas.
(Reporting by Gursimran Kaur in Bengaluru; Editing by Chris Reese and Matthew Lewis)