Explained: Understanding Pakistan’s IMF bailout

Even as Pakistan continues its brinkmanship with India, its sliding economy has required the International Monetary Fund to bail it out for the 13th time in 3 decades. How dire is its financial state, how did it get here?

Explained: Pakistan Prime Minister Imran Khan and IMF bailout for economy — Despite initial reservations, Pakistan’s Prime Minister Imran Khan has been forced to seek help from the IMF to overcome his country’s grave economic crisis. (The New York Times)

On Sunday, the International Monetary Fund (IMF) agreed in principle to support Pakistan with a loan of $6 billion, to be disbursed over 39 months. The agreement was reached at the end of two weeks of discussion and dialogue between Pakistani officials and an IMF mission that was in Islamabad from April 29 to May 11. The disbursements will commence after formal approval by the Fund’s management and its Executive Board.