Bloomberg
Bangladesh is seeking a loan from the International Monetary Fund, according to people with knowledge of the matter, the latest South Asian nation to ask for assistance as costlier oil eats into the region’s foreign-exchange stockpiles.
Prime Minister Sheikh Hasina’s government has written to the multilateral lender with its request, the people said, asking not to be identified discussing sensitive details. The Daily Star newspaper, which reported the development earlier, said Bangladesh wants $4.5 billion from the IMF.
The IMF stands ready to start negotiations, according to a draft seen by Bloomberg of an unpublished statement following the lender’s staff visit to Bangladesh.
Foreign exchange reserves in Bangladesh slipped to $39.79 billion as of July 13 from $45.33 billion a year earlier. That’s enough to cover roughly four months of imports, slightly higher than the IMF’s recommended three-month cover.
Calls to Finance Minister AHM Mustafa Kamal and an email to the IMF’s representative in Singapore were unanswered.
