With the political Impasse over, the government haa taken Initiative for resumption of the annual consultation meetings and visits of donor missions that had been stalled, according to a highly placed source in the Finance Ministry

A number of important donor missions visits and consultation meetings. In which the aid size of the donors for a fiscal year Is decided were cancelled as the political crisis persisted

The Economic Relations Division of the Finance Mln latry has Already sent letters to the World Bank. Aslan Development Bank (ADB) and Japan to resume their missions and annual consultation meetings, sources said

At least eight Important missions of the World Bank had been cancelled because of the political stand-off.

Meanwhile, the Paris Aid Club meet now scheduled for July Is likely to be shifted fur ther till a new political government takes over, according to a Finance Ministry source.

Japan had stopped its annual aid consultation meeting due around October after the Sonargaon Incident In which the General Manager of the hotel. who is a Japanese national, was beaten up t>y employees

According to senior Finance Ministry officials, the adviser in charge of the ministry is also likely to sit with the local consultative group of the donors here very shortly to discuss matters relating to economic cooperation.

Sources said the World Bank (WBI which la the coor dlnator of the donors, will prepare a document called ‘Economic update" instead of the usual Country Economic Memorandum (CEM)

Work on the update and the government's position paper on Its reforms and performance are still In a preliminary stage sources said

However, the political stand-off had affected the disbursement situation of foreign aid tn the last two months.

Till December, disburse menl was alright, but after that it did not pick up as work on the aided projects were hampered." said an official of the Finance Ministry.

But the aid commitment level till February this'year was higher than the same period of last year.

Till February this year, the commitment was 886 million US dollars against 617 million dollars during same period of last year.

Keeping with the low aid disbursement level, the project aid disbursement target has been reduced to 1101 million dollars against the original size of 1250 miHion dollars.

Meanwhile, since an interim budget is likely to be needed before a political government takes over. ERD has notified the Finance. Ministry of a possible 1270 million dollars aid disbursement to be included in the ADP for fiscal 1996-97. official sources said.