ISLAMABAD (AP) -- Pakistan and the International Monetary Fund have reached a staff-level agreement for the release of $1.2 billion from the bailout package approved last year.
The $7 billion bailout approved by the IMF in July 2024 aimed to keep Pakistan from defaulting on its debt repayments.
The agreement following several days of talks in Islamabad was reported by state media Wednesday and the IMF confirmed it in an overnight statement.
The IMF said Pakistan's economic program is helping entrench macroeconomic stability and rebuild market confidence.
The development comes weeks after Pakistan urged the IMF to consider concessions in light of devastating floods that killed more than 1,000 people and affected some 7 million in recent months.
The IMF said the recent floods highlight Pakistan's vulnerability to natural disasters and climate-related risks and stressed the continuing need to build climate resilience. The fund also expressed sympathy for those affected by the disaster.
