KARACHI: The State Bank of Pakistan (SBP) is reported to have received a cumulative inflow of approximately $1.3 billion from the International Monetary Fund (IMF), providing a significant boost to the country’s dwindling foreign exchange reserves and stabilizing the external sector.
The disbursement follows the IMF Executive Board’s successful completion of the third review under the Extended Fund Facility (EFF) during its meeting held on May 8, 2026. Consequently, the Board approved the release of SDR 760 million (Special Drawing Rights) for Pakistan.
In a dual boost for the cash-strapped economy, the Fund’s Executive Board also greenlit the disbursement of the second tranche under the Resilience and Sustainability Facility (RSF), amounting to SDR 154 million.
Confirming the development, the central bank stated that it had received a total of SDR 914 million—equivalent to roughly $1.3 billion—under both the EFF and RSF programs on May 12, 2026.
“These inflows will be reflected in the SBP’s foreign exchange reserves for the week ending May 15, 2026,” the central bank noted in a brief statement.
Financial analysts suggest that the timely release of these funds will ease pressure on the rupee and improve the country’s credit rating outlook. The RSF tranche, specifically designed to help vulnerable low-and middle-income countries address longer-term structural challenges such as climate change, marks a critical component of Pakistan’s ongoing engagement with the global lender.
