IMF's measures to ease 'external shock' window; to help economy

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Dhaka, July 3 (UNI) The International Monetary Fund (IMF) is simplifying its procedure of 'External Shock' window to help countries that are under economic pressure because of external factors.

Bangladesh could be a potential gainer of the move, since skyrocketing oil and food prices in the global market have been severely hurting its economy.

The notion came as an IMF team met with Finance Adviser A B Mirza Azizul Islam today.

''The visiting IMF team informed me that they are now easing the procedure of its 'External Shock' window from where Bangladesh could get monetary help to mitigate deficit in balance of payment,'' the Adviser told reporters at a post meeting briefing.

He said the team, led by IMF Asia Pacific Adviser Thomas Rumbaugh, informed him that the simplification tasks will be complete in a couple of months.

The Adviser said the IMF team in general supported the budget for FY09.

''Like me, they also believe that the projection of revenue generation in the current fiscal year is achievable,'' he said adding that the IMF is not concerned about the budget deficit.

In reply to a query, the Adviser said the government would not take any monetary policy that will affect production.

Referring to the current trend of inflation, he indicated that external factors are behind such a situation.

''When external factors create a situation like this, domestic measures can hardly make any big impact,'' he said.

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