As Pakistan faces an economic crises, the country is going to receive $3.4 billion in budgetary support from the Asian Development Bank (ABD).
According to the de facto Finance Minister of Pakistan, the government seeks help to overcome a ballooning balance of payments crisis.
Pakistan recently in an understanding with the International Monetary Fund (IMF) reached an accord for a three-year, $6 billion bailout package, which will help strengthening the slowing economy.
The ADB financing would come on top of the IMF loan, with most of the funds to be disbursed in the current fiscal year.
“The ADB will provide $3.4 billion in budgetary support,” de facto Finance Minister Hafeez Shaikh said on Twitter.
“$2.2 billion will be released this fiscal year (FY), starting in the first quarter of FY 2019-20. This will help the reserve position and the external account.”
The first disbursement is to “cover such policy reform areas as trade competitiveness, energy sector and capital markets development,” Pakistan’s Finance Ministry said in a statement.
Political analysts say that while the IMF programme may help stabilise the economy, it could bring more hardship due to austerity measures.
