ISLAMABAD: Pakistan is expected to secure approval for the next tranche of its International Monetary Fund (IMF) loan program during the IMF Executive Board meeting scheduled for May 8, according to official sources.
The Executive Board is likely to approve more than $1.2 billion for Pakistan under the ongoing financial assistance programs. The expected disbursement includes funds under the $7 billion Extended Fund Facility (EFF) and the $1.4 billion Resilience and Sustainability Facility (RSF).
Sources said Pakistan has successfully completed the third review of the $7 billion EFF program, paving the way for the release of the next installment. Under the arrangement, Pakistan is expected to receive approximately $1 billion as the fourth tranche of the EFF program.
Additionally, after the second review of the RSF program, Pakistan may receive an extra $210 million.
Pakistan and the IMF had reached a staff-level agreement on March 27 following negotiations on economic reforms and fiscal targets.
If approved by the IMF Executive Board, the funds are expected to be transferred soon to the State Bank of Pakistan’s account to support the country’s foreign exchange reserves and economic stabilization efforts.
