The International Monetary Fund (IMF) has announced that it would release $1.17 billion loan to Pakistan in three to six weeks, after the two reached a staff-level agreement earlier this week.
In a press briefing in Washington, IMF’s Communication Director Gerry Rice said that the global lender has reached an agreement with Pakistan on a combined seventh and eighth review of the programme, “that will translate into about 1.17 million [sic] being disbursed to Pakistan.”
He said this brought the total disbursements from the financial watchdog to Pakistan under the ongoing programme to about $4.2 billion.
“And we are hoping this will help to stabilise the economy and amongst other things help expand the social safety net to protect the most vulnerable; accelerate structural reforms; and help stabilise the macroeconomic situation in Pakistan,” he added.
Answering a question about the timeframe for releasing the loan, he said that the final meeting could be held within three to six weeks, “that’s roughly the ballpark between the staff level agreement and then the final agreement, which comes from our board.”
“The agreement could also unlock more funding for Pakistan, which in recent weeks has neared the brink of a balance of payments crisis,” Rice added.