Pakistan to get $4b from friendly countries to boost reserves

Pakistan is likely to get $4 billion from friendly countries this month to bridge a gap in foreign reserves highlighted by the International Monetary Fund, the country's finance minister said, two days after sealing a deal with the lender.

The IMF has reached a staff level agreement with Pakistan that would pave the way for a disbursement of $1.17 billion. The board is also considering adding $1 billion to a $6 billion programme agreed in 2019.

"As per the IMF, there is a $4 billion gap," the minister, Miftah Ismail, told a news conference in Islamabad, referring to the shortfall in foreign reserves.

"We will, God willing, fill this gap in the month of July," he said. "We think that we will get $1.2 billion in deferred oil payment from a friendly country. We think that a foreign country will invest between $1.5 to $2 billion in stocks on a G2G (government-to-government) basis, and another friendly country will perhaps give us gas on deferred payment and another friendly country will make some deposits."