2nd Tranche Of IMF loan Likely in December

The Bangladesh Bank is optimistic that the second tranche of the $4.7 billion IMF loan, which amounts to $681 million, will be approved by the international money lender during its board meeting on 11 December.

At a press briefing following the meeting with the visiting review team from the International Monetary Fund (IMF), central bank spokesman Mezbaul Haque said Bangladesh had met four of six conditions set out by the IMF. The IMF review team - sent to monitor how the initial funds from the first round of funds from the $4.7 billion loan - held the meeting with the Bangladesh Bank from 10am to 11am Thursday (19 October).

The closing meeting was chaired by central bank Governor Abdur Rouf Talukeder.

The review team came to Bangladesh on 4 October to check on the progress and use of loan funds under Article IV of the IMF agreement.

The team laid out its final conditions for the release of the second tranche at the meeting on Thursday.

Bangladesh Bank finalized the policy targets regarding the amount of net reserves, the rate of defaulted loans, the reduction of the inflation rate, and the market-oriented changes to the exchange rate by next June.