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IMF Board to Review Pakistan’s $700 Million Tranche Disbursement on January 11

Editor Isb by Editor Isb
May 14, 2025
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IMF Board to Review Pakistan’s $700 Million Tranche Disbursement on January 11
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ISLAMABAD: The International Monetary Fund (IMF) has included Pakistan in its January 11 Executive Board meeting agenda, as per the updated information on its website.

In this session, the board aims to discuss and potentially approve the release of the next $700 million installment under the existing $3 billion Stand-By Arrangement (SBA).

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As per the IMF Executive Board calendar, the upcoming meetings are scheduled for January 8, 10, and 11, with Pakistan’s case set for discussion on the final day. The ongoing IMF program, totaling $3 billion, is expected to conclude in the second week of April, with approximately $1.8 billion remaining undisbursed. The initial $1.2 billion tranche was disbursed in July.

In November 2023, an agreement at the Staff Level was reached between the IMF staff and Pakistani authorities regarding the first review under Pakistan’s SBA. However, the final approval by the IMF’s Executive Board, initially expected in December, has now been scheduled for January 11.

This development bears significance for Pakistan’s economy as the release of the next installment could offer vital financial support. The outcome of the impending meeting will influence the ongoing economic collaboration between Pakistan and the IMF.

“The discussions between the IMF staff and authorities on policies aimed at bolstering macroeconomic stability in the upcoming year are ongoing, and substantial progress has been achieved concerning the FY23 budget,” stated the IMF in another announcement.

Moreover, the IMF has updated its economic projections and data for Pakistan, reflecting a challenging outlook for the country in 2024. The IMF’s latest figures anticipate a 0.5% contraction in real GDP for the year, indicating possible economic challenges.

Concurrently, the forecast for the Consumer Price Index in 2024 indicates a notable surge, suggesting a considerable increase in inflation, posing further difficulties for the country’s economic stability.

(Islamabad51_Newsdesk)

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