Pakistan on Friday successfully paid two debt instalments worth $122 million to the International Monetary Fund (IMF). Sources said that $109 million was paid against the 8th repayment of the Stand-By Arrangement (SBA) programme of IMF and $13 million under Extended Credit Facility (ECF). In term of Special Drawing Rights (SDR), the total payment was calculated at 79.68 million SDRs.

SBP''s chief spokesperson Syed Wasimuddin confirmed that the part payment was paid on Friday, the due date for the loan instalment. Sources said that according to the previous schedule, SBA payment was due on January 1 next year, however under the revised schedule; the payment was due on December 28 this year. In addition, keeping in line with previous practice, this instalment was also paid from foreign currency reserves held by the SBP.

Pakistan rejoined IMF in November 2008 and entered into $11.3 billion SBA programme with IMF to avoid a default. The country got disbursements of about $7.6 billion, but failed to get the remaining $3.7 billion because of slippages in performance criteria, leading to suspension of the programme in May 2010. The programme was ended on September 30, 2011.

Copyright Business Recorder, 2012