ISLAMABAD: Pakistan has finalized a staff-level agreement with the International Monetary Fund (IMF) and is awaiting approval from the IMF’s executive board, after which the next tranche of the loan is expected to be disbursed, Finance Minister Muhammad Aurangzeb announced on Saturday.
During a meeting with representatives from S&P Global Ratings, Aurangzeb highlighted that Pakistan’s improving economic indicators and ongoing reform efforts are helping to rebuild confidence among global financial markets.
He confirmed that the staff-level agreement has been completed and will soon be submitted to the IMF’s executive board for formal approval, anticipated within the coming weeks.
In a significant development, Aurangzeb noted that Pakistan successfully repaid a $1.4 billion Eurobond earlier this month, demonstrating the country’s capacity to fulfill its external financial commitments.
Meanwhile, the finance minister also emphasized the financial support from Saudi Arabia, which includes an additional $3 billion assistance package and the extension of a $5 billion deposit facility until 2028. These measures are expected to further bolster Pakistan’s external financial position.
He further outlined the government’s medium-term fiscal strategy, stressing that the ongoing reforms and stabilization of macroeconomic indicators provide a solid foundation for an upgrade in Pakistan’s sovereign credit rating.
