Islamabad, July 9: Pakistan is expected to receive today its first instalment of about $1 billion out of a bailout package of $6 billion from the International Monetary Funds (IMF).
“Pakistan has paid attention to economic reforms … It was necessary to bump up tax collection in order to stabilize the economy,” the IMF mission head to Pakistan Ernesto Ramirez-Rigo said during a media conference held on Monday, as per Geo News reports.
The IMF bailout package is aimed at achieving stability in the nation’s institutions and economy, according to ANI news reports.
Dunya News has reported: “The bailout package will help Pakistan to pay its external debts, recover from its fiscal deficit, keep foreign exchange reserves to the equivalent of 3 months of imports and curb further devaluation of the rupee.”
The IMF’s executive board has approved the three-year bailout package to Islamabad last week.
On his official Twitter handle, the IMF’s spokesperson Gerry Rice on July 3 confirmed the news: “IMF Executive Board approved today the three-year US $6 billion loans to support Pakistan’s economic plan, which aims to return sustainably growth to the country’s economy and improve the standards of living.”
IMF Executive Board approved today a three-year US$6 billion loan to support #Pakistan’s economic plan, which aims to return sustainable growth to the country’s economy and improve the standards of living. pic.twitter.com/HCAMr1KWfK
— Julie Kozack (@IMFSpokesperson) July 3, 2019
Moreover, the Asian development bank has announced its plans to grant financial assistance worth USD 10 billion to Pakistan in order to carry out various development projects in over next five years.