Pakistan repays $260 million to IMF

Payment made to return money Pakistan borrowed under a 2008 bailout package.

ISLAMABAD: The government on Friday paid $260 million to the International Monetary Fund (IMF) as a part of loan repayment, Express News reported.

The fresh payment was made to return money Pakistan borrowed under a bailout package signed in November 2008.

The last IMF repayment of $391 million was made at the end of May.

Heavy debt repayments to the IMF have been putting a dent in the central bank’s reserves, which have declined by nearly 20% in the current fiscal year, putting pressure on the rupee.

An IMF mission is currently in Islamabad to review the county’s ability to pay back its money in addition to negotiating a fresh bailout programme.

Correction: In an earlier version of this story, the amount was erroneously mentioned in rupees. The error is regretted.