Pakistan’s economy grew faster than expected last quarter as funds from the International Monetary Fund and lower interest rates buoyed activity.

Pakistani officials say the executive board of the International Fund has approved a new $7 billion loan for the country.

The International Monetary Fund (IMF) has approved a $7bn (£5.25bn) loan to cash-strapped Pakistan. The country is due to receive the first $1bn of the loan immediately, with the balance to be paid out over the next three years.

Pakistan plans to cut 150,000 government jobs, close six ministries, and merge two others as part of IMF reforms linked to a USD 7 billion loan.

Cash-strapped Pakistan announced that in efforts to reduce administrative expenditures, the country has cut nearly 1.5 lakh government jobs, closed six ministries, and merged two others to secure a $7 billion loan deal from the International Monetary Fund (IMF),