Islamabad – Pakistan has again qualified to avail $2 billion development funding facility from the World Bank, three years after it was suspended for not meeting required macro-economic stability standards.
The funding by the International Bank for Reconstruction and Development (IBRD) will be available during 2015-2019, according to a government announcement made after a meeting between Finance Minister Ishaq Dar and the World Bank Country Director Rachid Benmessaoud in Islamabad on Feb. 25.
The facility has been restored as Pakistan is now maintaining foreign exchange reserves of more than 2.5 months of projected imports and has met benchmarks set by the World Bank for becoming eligible for the facility. The facility was suspended in March, 2012.
Pakistan’s foreign reserves stood at around $16 billion as of Feb. 11, from $2.4 billion a year ago, according to the statement.
Benmessaoud lauded improvement in economic indicators including growth in revenue and GDP as well as cut in budget deficit and improving forex reserves.
The IBRD facility will be utilized for infrastructure projects.