The International Monetary Fund (IMF) announced on Friday that it has approved approximately $1.32 billion in funding for Pakistan, enabling the country to access about $1.1 billion under the Extended Fund Facility and $220 million under the Resilience and Sustainability Facility. This funding will increase total disbursements under the two ongoing programs to around $4.8 billion. Pakistan is currently engaged in a $7 billion IMF program, having reached a staff-level agreement in March. The IMF emphasized the need for Pakistan to uphold strong macroeconomic policies and accelerate reform efforts, particularly in light of the challenging external environment following the recent escalation of conflict in the Middle East. Additionally, in April, Pakistan's central bank raised its key policy rate by 100 basis points to 11.5%, marking its first increase in nearly three years, as part of efforts to maintain a tight monetary policy stance.