Advertisement
Categories: BusinessNewsPakistan

IMF Approves $7 Billion Bailout Package for Pakistan

Advertisement

The International Monetary Fund (IMF) Executive Board has approved a $7 billion Extended Fund Facility (EFF) for Pakistan, following confirmation of $12 billion in bilateral loans from Saudi Arabia, China, and the UAE.

Pakistan and the IMF initially reached an agreement on the 37-month loan program in July 2024. This breakthrough followed the securing of $5 billion in cash deposits from Saudi Arabia, $4 billion from China, and $3 billion from the UAE.

As a precondition for the IMF’s approval, Pakistan was required to raise $2 billion in external financing from bilateral and commercial lenders. The global lender also identified an additional external financing gap of $2 to $2.5 billion, which was filled with Saudi oil facilities, a $400 million ITFC facility from the Islamic Development Bank (IsDB), and support from Middle Eastern commercial banks, including Standard Chartered Bank.

Prime Minister Shehbaz Sharif expressed optimism that this would be the country’s final IMF program.

Pakistan, often on the verge of sovereign default, has frequently turned to IMF programs and bilateral financing from countries such as Saudi Arabia and the UAE to meet IMF targets.

Advertisement
News Desk

Recent Posts

Fatima Fertilizer’s Sarsabz Tabeer launches healthcare initiative in collaboration with MASH and the Government of Punjab

As part of its ongoing commitment to empower rural women and female farmers, Fatima Fertilizer,…

7 hours ago

Payoneer Hosted “Game Leaders Connect 2025” to Power Global Growth for Pakistan’s Gaming Industry

Payoneer (NASDAQ: PAYO), the global financial technology company powering business growth across borders, hosted Payoneer’s…

7 hours ago

foodpanda launches Pakistan’s first multi-brand dining destination, ‘The Commune’

foodpanda, Pakistan’s leading online delivery platform, has announced the grand opening of "The Commune by…

8 hours ago

Why Did Temu & AliExpress Prices Suddenly Increase in Pakistan?

Pakistani shoppers were left shocked this week as prices on popular e-commerce platforms Temu and…

8 hours ago

Petrol, Diesel Prices May Surge by Up to Rs15/Litre

The government is preparing to impose another steep increase in petroleum prices, dealing a fresh…

1 day ago

Sindh Bank selects PTCL to enhance Bank’s Digital Connectivity Infrastructure

Pakistan Telecommunication Company Limited (PTCL) and Sindh Bank have signed an agreement for deployment of…

1 day ago