KARACHI, Aug 24: The State Bank of Pakistan (SBP) made a repayment of $397.2 million to the International Monetary Fund (IMF) on Friday, according to its official.

“This was the fourth installment under SBA (Stand by Agreement) and so far the country has paid $1.29 billion to IMF,” said Syed Wasimuddin, Chief Spokesman of the SBP.

Pakistan repaid $401 million in Feb 2012, $392 million in May and $108 million in June.

Pakistan is repaying approximately an $8 billion loan to the IMF and is scheduled to make a repayment of around $2.9 billion during this fiscal year (2012-13).

In 2008, Pakistan averted a balance-of-payments crisis by securing an $11 billion IMF loan. However due to the country’s failure of implementing reforms, it only secured around $8 billion.

IMF repayments are due to peak in 2013-14, at $3.38 billion.

The country’s foreign exchange reserves stood at $15.18 billion in week ended Aug 17 and the repayments are likely to put pressure on Pakistan’s external accounts.

Pakistan’s reserves hit a record of $18.31 in July last year but have been depleting since due to debt repayments.

The current account deficit widened to a provisional $297 million in July, compared with a deficit of $82 million in July last year. In 2011-12 the current account deficit swelled to $4.672 billion, compared with a surplus of $214 million in 2010-11.

The rupee hovered close to its record low of 94.87, hit in July, at 94.75 to the dollar on Friday.