IMF to hold crucial talks with Pakistan over release of final $1.1B tranche of $3B bailout

ISLAMABAD (AP) — The International Monetary Fund will hold a crucial round of talks with Pakistan's newly elected government this week to determine whether the country has met conditions for receiving the much needed final $1.1 billion tranche of a $3 billion bailout, officials said Wednesday.

The five-day talks will begin Thursday in Islamabad with the government of Prime Minister Shehbaz Sharif, whose advisers have hinted that Pakistan will seek a new bailout of up to $8 billion when the current one expires this month.

Pakistan is likely to get the final installment of $1.1 billion from the IMF under the 2023 bailout deal agreed to by both sides last year. It needs the funds to overcome one of the worst economic crises in its history that had raised fears the South Asian Islamic nation could default on the payment of foreign debts.

In a statement, Pakistan's Finance Ministry said Pakistan has complied with all of the IMF’s conditions to receive the much-need final installment of $1.1 billion under the bailout which expires this month.