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IMF Approves Pakistan Loan Next Month With $1.2 Billion Deposit

IMF approves Pakistan loan next month

IMF approves Pakistan loan next month with a $1.2 billion deposit. The Executive Board will take up the Staff-Level Agreement in May. According to sources board’s calendar will add Pakistan’s agenda item in the coming two weeks. The SLA was reached on March 28 following the third review under the EFF. The second review under the RSF also completed successfully.

IMF approves Pakistan loan next month as Finance Minister Aurangzeb holds talks in Washington. He is currently attending the Spring Meetings of the Bretton Woods institutions. Discussions centered on economic stabilisation efforts and reform progress. External financing outlook also featured prominently. The finance minister earlier said the board might meet in mid-May. That meeting would review and potentially approve the SLA.

IMF approves Pakistan loan next month after virtual negotiations concluded in late March. An IMF mission arrived in Islamabad on February 25 initially. Regional tensions forced the team to continue engagements virtually. They finally finalized the SLA in late March. Another IMF team will visit Pakistan in May for pre-budget consultations. That visit is routine programme monitoring.

Disbursements under IMF arrangements release in stages. Successful reviews and board approval unlock each tranche. The current EFF programme continues through 2027. Pakistan has not yet decided on a new programme after this one ends. Internal consultations remain ongoing. For now, $1.2 billion should hit SBP accounts soon.

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