Business & Economy

IMF approves $1.3 billion for Pakistan, improvement in foreign exchange reserves expected

IMF

A major breakthrough has come for Pakistan’s economy, as the International Monetary Fund (IMF) has approved a new tranche of $1.3 billion for Pakistan.

In a meeting held in Washington, the IMF Executive Board expressed confidence in Pakistan’s program by approving the Second Economic Review.

According to sources, after the approval, Pakistan will receive more than $1 billion under the $7 billion EFF program, while the first tranche of more than $200 million under the Resilience and Sustainability Facility (RSF) is also included.

Thus, the total outstanding amount of both programs will reach $3.3 billion.

It is further being told that the government has assured the IMF of continuing economic reforms, while the fund has described the country’s economic discipline as better than before

According to economists, the inflow of $1.3 billion will immediately improve Pakistan’s foreign exchange reserves, which will reduce pressure on the currency market.

Experts say that if the series of reforms continues, the economy can show greater stability in the coming months.

Business Desk

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