IMF board likely to approve release of $1.1 billion tranche for Pakistan

ISLAMABAD: Pakistan's bid for the release of the final tranche of $1.1 billion from the International Monetary Fund (IMF) is set to be presented during the IMF executive board meeting scheduled for today, as per sources.

The IMF delegation has reportedly recommended the release of the installment, with sources indicating that approval for the $1.1 billion tranche is anticipated once presented before the board.

"Pakistan is awaiting the disbursement of the third and final installment under the Stand-By Arrangement (SBA) agreement, having already received $1.9 billion from the IMF under the same agreement," the sources stated, highlighting Pakistan's adherence to the agreed targets.

Furthermore, the economic team plans to engage in discussions with the IMF in May for a new loan program. The IMF delegation is expected to visit Pakistan in mid-May to negotiate a new long-term Extended Fund Facility (EFF) following the conclusion of the current $3 billion SBA.

Prime Minister Shehbaz Sharif, during his meeting with IMF Managing Director Kristalina Georgieva at the World Economic Forum Special Meeting in Riyadh, discussed the prospects of a new loan agreement. The Prime Minister reaffirmed the government's commitment to revitalizing Pakistan's economy and expressed gratitude for the IMF's support in securing the previous $3 billion SBA.

PM Shehbaz highlighted his administration's focus on implementing structural reforms, ensuring fiscal discipline, and pursuing prudent policies to achieve macroeconomic stability and sustained economic growth. The IMF chief commended Pakistan's efforts under PM Shehbaz's leadership and shared insights into the ongoing program and review process.