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International Monetary Fund reviving the $6 billion program

ISLAMABAD( REPORTBEAT ) The International Monetary Fund (IMF) on Wednesday approved four pending reviews of Pakistan’s economy and the release of the next loan tranche of around $500 million, reviving the $6 billion program after it remained derailed for over a year.

In order to put the programme back on track, Prime Minister Imran Khan took some tough political decisions despite prevailing political uncertainty. These measures, which were also the prior conditions, included significantly increasing electricity prices, imposition of Rs140 billion taxes and agreeing to an unparalleled autonomy for the central bank.

The Executive Board of the IMF endorsed the staff-level agreement, reached between the government of Pakistan and the IMF team last month, a top government functionary told The Express Tribune after the board approval.

The board’s approval has paved the way for the release of $500 million third loan tranche. Out of the $6 billion, the IMF has already disbursed $1.45 billion in two tranches, bringing the total disbursements to $2 billion.

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