Crisis-hit Pakistan strikes USD 3 billion bailout deal with IMF

In a major relief to cash-strapped Pakistan, the IMF has agreed to inject USD 3 billion into the country’s ailing economy after months-long negotiations that pushed it to the brink of default.

In a major relief to cash-strapped Pakistan, the IMF has agreed to inject USD 3 billion into the country’s ailing economy after months-long negotiations that pushed it to the brink of default.

The Pakistan government and the Washington-based global lender reached a nine-month Stand-By Arrangement (SBA) on Thursday to support the authorities’ immediate efforts to stabilise the economy from external shocks.

Prime Minister Shehbaz Sharif on Friday said that Staff-Level Agreement with the International Monetary Fund would help strengthen Pakistan’s foreign exchange reserves and enable the country to achieve economic stability.

“I am pleased to announce that Pakistan has reached a Staff-Level Agreement with the IMF on a nine-month USD 3 billion Stand-By Arrangement,” he wrote on Twitter.