Via AP Business

ISLAMABAD (AP) — The International Monetary Fund says it has reached a preliminary agreement with Pakistan for a $6 billion bailout over the next three years to finance sweeping economic reforms.

IMF envoy Ernesto Ramirez Rigo said in a statement Sunday that the two sides have reached a “staff level agreement” subject to approval by the IMF management and the executive board.

Pakistan had initially sought an $8 billion bailout to address a long-running fiscal crisis and has held months of talks with the international lender.

The U.S., which exerts major influence over the IMF, has said it should not finance the tens of billions of dollars in loans that Pakistan has taken from China as part of the Belt and Road Initiative.

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