Asian Infrastructure Investment Bank (AIIB) on Wednesday approved 500 million dollars as co-financing of an Asian Development Bank (ADB) program for Pakistan.
Announcing this in a tweet on Wednesday, Minister for Finance Ishaq Dar said the funds under ADB’s BRACE (Building Resilience through Active Countercyclical Expenditures) program will be received by the State Bank of Pakistan within this month.
Earlier on October 26, ADB signed an agreement with Pakistan to provide a $1.5 billion loan for budgetary support and help flood-related rehabilitation and reconstruction.
The loan would build the foreign exchange reserves and rein in the rupee’s depreciation.
Pakistan’s foreign exchange reserves holding the State Bank of Pakistan (SBP) reach to $ 9 billion with the transfer of the ADB loan.
The $1.5bn ADB loan is aimed to provide social protection, promote food security, and support employment for people amid devastating floods and global supply chain disruptions.