Details of the loans and aid received by Pakistan during the Coronavirus Pandemic

The Government itself has also announced a Rs1.2 trillion fiscal stimulus package to offset the adverse impacts of the coronavirus pandemic on the country’s fragile economy.

So far three international agencies, The International Monetary Fund, The Asian Development Bank and The World Bank have agreed to give out loans to Pakistan to help the already debt-crippled nation in fighting the Coronavirus Pandemic

The IMF has agreed to provide $1.386 Billion to Pakistan in the month of April. This was the result of a request made by the Pakistani Government in March. They requested the IMF for a low-cost, fast-disbursing loan under the fund’s Rapid Financing Instrument (RFI) to deal with the adverse economic impact of COVID-19.

“We have been working with the Pakistani authorities since the request was placed … This $1.4 billion disbursement is scheduled to happen next week,” Teresa Daban Sanchez, the IMF Resident Representative in Pakistan, told  Arab News.

The RFI is used to provide financial assistance to IMF member countries facing an urgent balance of payments need without requiring them to put a full-fledged program in place. It can provide support to meet a broad range of urgent needs, including those arising from commodity price shocks, natural disasters, conflict and post-conflict situations.

Similarly, The ADB agreed on providing a total of 1.7 Billion dollars, with $800 Million being given by June 2020 and $900 million by December 2020. This is a part of the ADB’s expanded support package of $20 Billion announced on the 13th of April to address the immediate needs of its developing member countries, including Pakistan, as they respond to the COVID-19 pandemic.

The World Bank has also approved a $1 Billion loan for Pakistan.

The Government itself has also announced a Rs1.2 trillion fiscal stimulus package to offset the adverse impacts of the coronavirus pandemic on the country’s fragile economy.

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