IMF approves $6 billion loan for Pakistan

Published July 3, 2019
The International Monetary Fund (IMF) headquarters building is seen ahead of the IMF/World Bank spring meetings in Washington, U.S., April 8, 2019. Photo: Reuters/File
The International Monetary Fund (IMF) headquarters building is seen ahead of the IMF/World Bank spring meetings in Washington, U.S., April 8, 2019. Photo: Reuters/File

The International Monetary Fund's (IMF) executive board has approved a three-year, $6 billion loan "to support Pakistan’s economic plan, which aims to return sustainable growth to the country’s economy and improve the standards of living," spokesperson Gerry Rice tweeted on Wednesday evening.

According to AFP, the IMF board has released $1bn to Pakistan immediately. The fund will review Pakistan's performance quarterly over 39 months, phasing release of the additional aid over time.

This is Pakistan's 13th IMF programme.

The finance minister also tweeted about the approval.

Islamabad will receive $2bn annually under an extended fund facility (EFF). According to the IMF, "The EFF provides assistance in support of comprehensive programmes that include policies of the scope and character required to correct structural imbalances over an extended period."

An IMF mission led by Ernesto Ramirez Rigo had visited Islamabad from April 29 to May 11 to discuss a bailout package.

Pakistani authorities and the IMF team had at the conclusion of the visit reached a staff level agreement over a 39-month EFF for about $6bn.

The agreement had been subject to approval by the IMF's executive board.

"The programme aims to support the [Pakistani] authorities’ strategy for stronger and more balanced growth by reducing domestic and external imbalances, improving the business environment, strengthening institutions, increasing transparency, and protecting social spending," the IMF had said in a statement attributed to Rigo.

Opinion

Editorial

Immunity gap
26 Apr, 2026

Immunity gap

VACCINES rarely make the headlines unless there is an outbreak. This World Immunisation Week, it is a moment to...
Danger on repeat
26 Apr, 2026

Danger on repeat

DISASTERS have typically been framed as acts of nature. Of late, they look increasingly like tests of preparedness...
Loose lips
26 Apr, 2026

Loose lips

PAKISTANIS have by now gained something of an international reputation for their gallows humour, but it seems that...
Lebanon truce
Updated 25 Apr, 2026

Lebanon truce

THE fact that the truce between Israel and Lebanon has been extended for three weeks should be welcomed. But there...
Terrorism again
25 Apr, 2026

Terrorism again

THE elimination of 22 terrorists in an intelligence-based operation in Khyber highlights both the scale and ...
Taxing technology
25 Apr, 2026

Taxing technology

THE recent decision by the FBR’s Directorate General of Customs Valuation to increase the ‘assessed value’ of...