WASHINGTON: The International Monetary Fund (IMF) has approved a new tranche of $1.2 billion for Pakistan, marking a significant boost for the country’s external financing and economic stability.
According to details, the approval was granted during a meeting of the IMF Executive Board held in Washington, where Pakistan’s financial assistance program was reviewed.
Under the decision, Pakistan will receive $1 billion under the Extended Fund Facility, while an additional $210 million will be disbursed under climate and sustainable development support initiatives.
The approved amount will be transferred to the State Bank of Pakistan, which is expected to strengthen the country’s foreign exchange reserves and provide short-term relief to the external account.
Officials noted that the IMF program is also likely to improve investor confidence and support Pakistan’s broader macroeconomic stability, particularly in meeting external payment obligations.
The new disbursement comes as part of ongoing cooperation between Pakistan and the IMF aimed at stabilizing the economy and implementing structural reforms.
