Pakistan Receives Loan Tranche of $705 Million from IMF

The State Bank of Pakistan (SBP) has received the second tranche of $705.6 million from the International Monetary Fund (IMF) under the $3 billion Stand-By Arrangement (SBA). In a statement issued on Wednesday, the central bank said that it received SDR 528 million (equivalent to $705.6 million) in value on January 16. The central bank said that this disbursement will be reflected in SBP reserves for the week ending on January 19. Last week, the Executive Board of the IMF completed the first review of Pakistan’s economic reform program supported by the IMF’s SBA. The Board’s decision allowed for an immediate disbursement of SDR 528 million (around $700 million), bringing total disbursements under the arrangement to SDR 1.422 billion (about $1.9 billion). The inflow will boost the country’s liquid foreign exchange reserves which were recorded at $8.155 billion on January 5.