SBP receives $1.1bln from IMF Tranche

Karachi: The State Bank of Pakistan (SBP) on Tuesday confirmed the receipt of $ 828 million (approximately $1.1 billion) from the International Monetary Fund (IMF).

The transaction comes on the heels of the IMF's approval of the final tranche for Pakistan under the $3 billion Stand-By Arrangement (SBA).

According to a statement, the central bank stated that this amount would be added to the SBP's foreign exchange reserves for the week ending May 3, 2024.

Earlier, IMF approved 1.1 billion dollars final tranche for Pakistan under the Stand-By Arrangement.

The IMF's Executive Board has allowed for immediate disbursement of the final tranche, bringing total disbursements under the arrangement to about three billion dollars.

Pakistan and the IMF had reached Staff Level Agreement on second and final review for remaining 1.1 billion dollars under the Stand-By Arrangement on 20th of last month.

In a statement, the IMF said Pakistan’s determined policy efforts under the 2023 Stand-By Arrangement have brought progress in restoring economic stability.

It said moderate growth has returned, external pressures have eased and inflation has begun to decline.

Prime Minister Shehbaz Sharif has expressed satisfaction over the release of the last financial tranche by International Monetary Fund for Pakistan.

The PM said this installment worth one point one billion dollars will bring more economic stability to Pakistan.

The Prime Minister said the agreement with IMF proved crucial in preventing Pakistan from default during the sixteen months of his tenure in the last government.

He said the tough decisions taken for economic security of Pakistan are yielding positive results now in the form of economic stability. 

Shehbaz Sharif said the government is doing its best to improve the economy and bring development to the country.                                          

He said taking loan is not a success, our success will be when we clear it.                                 

The Prime Minister expressed the hope that the country will rid of debt cycle and enter a prosperous era if we continue to work in the right direction.

He thanked the IMF for supporting Pakistan in difficult times.