IMF Approves $3 Billion Bailout for Pakistan

IMF Approves $3 Billion Bailout for Pakistan

Ira Singh
14 July’23

In a significant move aimed at stabilizing Pakistan’s faltering economy, the International Monetary Fund (IMF) has approved a $3 billion bailout package for the country. The much-needed financial assistance comes as a relief to Pakistan, which has been grappling with severe economic challenges and mounting debts.

In a recent report, International Monetary Fund (IMF) has given its approval to a $3 billion bailout programme for Pakistan on Wednesday. IMF executive board said that approximately $1.2 billion will be immediately disbursed to provide immediate relief and the remaining instalments will be provided later to Pakistan, Dawn reported.

The amount approved, however, is higher-than- expected funding for Pakistan.

The approved bailout amount of $3 billion, to be spread over a period of nine months, comes when the nation was eagerly anticipating the disbursement of the remaining $2.5 billion from a bailout package of $6.5 billion that was initially agreed upon in 2019 but expired in June, according to sources.

the IMF’s approval of a $3 billion bailout package for Pakistan marks a significant milestone in the country’s efforts to stabilize its economy. The funds will provide immediate respite and create a pathway for sustainable economic growth. However, the success of this bailout will ultimately depend on Pakistan’s commitment to implementing comprehensive reforms and managing its economic challenges effectively.