The International Monetary Fund has approved the release of more than $1.2 billion for Pakistan under its ongoing loan programme following a key Executive Board meeting in Washington on Friday.

According to finance ministry officials, the board reviewed Pakistan’s economic performance and reform measures before approving the next tranche under the country’s IMF programme.

The approval follows a staff-level agreement reached between Pakistan and the IMF on March 27, after negotiations on economic reforms and fiscal targets.

Officials said the funding falls under the broader $7 billion Extended Fund Facility (EFF) and Resilience and Sustainability Facility (RSF) programmes.

Authorities stated that Pakistan had completed most IMF conditions and fulfilled all prior actions required before the board review.

Officials added that the successful completion of the third review is expected to lead to the release of around $1 billion, while an additional $210 million would become available after the second review under the RSF arrangement.

Finance ministry officials said the latest disbursement would help strengthen Pakistan’s foreign exchange reserves and support economic stability as the government continues implementing IMF-backed reforms.