(Bloomberg) -- Bangladesh is aiming for a clutch of support from creditors, including the International Monetary Fund, to fortify the nation’s finances as elevated energy prices led to daily power outages and strained dollar reserves.

An IMF stamp of approval by way of a loan package “will stabilize markets and we’ll get some funds which will boost our reserves,” said Ahsan H. Mansur, executive director of Dhaka-based Policy Research Institute and a former IMF economist. “That’s the best strategy.”

The $416 billion South Asian economy, whose robust garments sector supplies to H&M Hennes & Mauritz AB and Gap Inc., has sought IMF’s assistance, which officials in Dhaka described as pre-emptive and not to be equated with bailout funds sought by neighbors Sri Lanka and Pakistan.

“Bangladesh is not in an economic crisis” Finance Minister AHM Mustafa Kamal said on Wednesday. “We’re raising these funds for any future needs. Where will we get the money when we need it?” he said.

The nation may also tap the World Bank and the Asian Development Bank, if necessary, to pay for imports that have become more expensive because of the war in Ukraine, Kamal said.

While pressure is building on Bangladesh, the risk of a crisis remains low, according to Moody’s Investor Service. Even as foreign exchange reserves eased 13% in the past 12 months to $39.67 billion, it’s still enough to pay for almost four months worth of imports and well above the three-month cover prescribed by the IMF.

In comparison, Pakistan’s reserves were at $9.33 billion as of July 15, just enough for two months worth of imports while Sri Lanka’s $1.86 billion dollar pile as of end-June included a conditional $1.5 billion swap from China. Political turmoil in the two South Asian nations risks delaying their IMF bailouts and is roiling their markets.

In Bangladesh too, stocks have shed more than 10% of their value so far this year as investors shift capital to less riskier assets, and amid growing concerns about more countries going the Sri Lanka way. Bangladesh’s central bank this week moved to check currency speculation after some money changers charged as much as 112 taka per dollar.

“Bangladesh is capable to pay back the loans and is a good marketplace for overseas bankers and financial institutions,” the finance minister said.

The IMF program will encourage Bangladesh to remove the 9% cap on banks’ lending rate implemented in April 2020, according to Mansur. IMF will also likely prescribe reforms like reducing or scrapping subsidies.

“If the program initiates a house-cleaning in Bangladesh, that will be the biggest achievement for the government,” the former IMF economist said.

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