Pakistan Awaits IMF Decision on Crucial Loan Tranche

Pakistan anticipates favorable news from the IMF regarding the next tranche of a USD 7 billion loan. Finance Minister Muhammad Aurangzeb highlighted Pakistan's commitment to meeting IMF targets. Talks also address additional funding for climate change issues. Progress towards a staff-level agreement is ongoing.

Pakistan is hopeful about securing the next installment of its USD 7 billion loan package from the International Monetary Fund (IMF), a move confirmed by Finance Minister Muhammad Aurangzeb on Friday. The IMF talks, nearing conclusion, focus on a USD 1 billion tranche critical for the country's financial stability.

Finance Minister Aurangzeb indicated that Pakistan remains committed to adhering to the IMF's economic targets, a commitment reinforced during a visit by an IMF delegation. The talks also seek an additional USD 1.5 billion to address climate change impacts like glacier melting and economic disruptions.

The optimism for progress was echoed by Jameel Ahmad, central bank governor, who noted that the State Bank of Pakistan poses no obstacle in negotiations, with final issues likely residing with the federal government. As such, Pakistan continues its dialogue with the IMF aiming at solidifying a much-needed financial agreement.

(With inputs from agencies.)