India flags terror funding risk as IMF approves USD 1 billion loan for Pakistan

India has raised concerns over the potential misuse of an International Monetary Fund (IMF) loan to Pakistan, warning that the funds could be diverted for state-sponsored cross-border terrorism. The IMF on Friday approved the immediate disbursement of approximately USD 1 billion to Pakistan under the ongoing Extended Fund Facility (EFF) program. The decision followed the Washington-based lender’s review of Pakistan’s economic reform progress, bringing total disbursements under the EFF arrangement to about USD 2.1 billion.

World