IMF board clears Pakistan to access $1.32 billion

The International Monetary Fund said on Friday that its board ⁠had completed reviews of some of its agreements ⁠with Pakistan, clearing the way ‌for the ​South Asian nation to access about $1.32 billion in fresh funding immediately.

The IMF said Pakistan would be able to draw around $1.1 billion under ​the Extended ⁠Fund Facility and about $220 million under the Resilience and Sustainability Facility, lifting total disbursements under the two ongoing programmes ⁠to ‌about $4.8 billion.

Earlier on Friday, Reuters reported, citing sources, that the IMF's executive ‌board voted to approve an agreement it previously ⁠reached with Pakistan. The country is on a $7 billion IMF program ‌and reached a staff-level agreement ‌in March.

"Amid a more challenging and ‌highly uncertain external environment since ‌the onset of the war in the Middle East, Pakistan needs to maintain strong macroeconomic policies ⁠while accelerating ⁠reform efforts," the IMF said in a statement. In April, Pakistan's central bank raised its key policy rate by 100 basis points to 11.5%, marking its first hike in almost three ​years.

"The State Bank of Pakistan has ​acted proactively to maintain ​an appropriately tight monetary policy stance," the IMF added.