But both the sides have to settle many issues before an agreement is signed, including the treatment of short-term external debt, according to people privy to these negotiations. The rollover of short-term debt, largely Chinese, will keep overall size of the IMF programme at the lower end. Meanwhile, the IMF has appointed a new mission chief to Pakistan after incumbent chief Harald Finger completed his extended term. The short-term debt was over and above the $7-billion medium and long-term debt, which was also maturing this fiscal year. His reply suggests that technically Pakistan will not be repaying its short-term debt, which will help keep the size of IMF programme relatively low.

Source: The Express Tribune February 12, 2019 03:00 UTC