The International Monetary Fund has approved the next $1.2 billion tranche for Pakistan, providing fresh support under its ongoing loan programme and climate financing arrangement.

According to details that emerged on Friday, the IMF Executive Board cleared the funding during a meeting held in Washington.

Out of the total amount, Pakistan will receive $1 billion under the Extended Fund Facility programme, while another $200 million will be disbursed under the Resilience and Sustainability Facility linked to climate-related financing.

The approval marks another key step in Pakistan’s engagement with the IMF as the country continues to rely on external support to stabilize its economy and strengthen its financial position.