KARACHI: The State Bank of Pakistan (SBP) confirmed on Wednesday that Pakistan has received over \$1.023 billion from the International Monetary Fund (IMF) as the second tranche under the 37-month Extended Fund Facility (EFF).
This disbursement follows the IMF Executive Board’s completion of the first review of Pakistan’s economic performance under the EFF during its May 9, 2025 meeting. The Board approved the immediate release of SDR 760 million—approximately \$1.023 billion—bringing total disbursements under the facility to \$2.1 billion since its approval in July last year.
The SBP noted that the inflow was received on May 13, 2025, and will be reflected in the foreign exchange reserves for the week ending May 16. The \$7 billion EFF program is aimed at enhancing Pakistan’s economic resilience, supporting structural reforms, stabilizing macroeconomic fundamentals, and restoring investor confidence.
The IMF also approved a new \$1.4 billion loan under its Climate Resilience Fund for Pakistan, acknowledging the country’s policy progress despite a challenging global economic environment.
SBP Governor Jameel Ahmed expressed optimism that foreign exchange reserves will surpass \$14 billion by end-June 2025, driven by rising home remittances and a current account surplus. As of May 2, Pakistan’s total liquid reserves stood at \$15.483 billion, with \$10.33 billion held by the SBP.
Story by Rizwan Bhatti
