Pakistan says it has met all of the IMF's conditions to secure a new $7 billion loan

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ISLAMABAD (AP) — Pakistan's Prime Minister Shehbaz Sharif said Thursday that his country has met all the conditions set by the International Monetary Fund to qualify for a new $7 billion loan to help prop up its economy.

During a Cabinet meeting, Sharif praised his finance team and other advisers for complying with the requirements set by the IMF, which is expected to sign a formal approval to the loan on Sept. 25, when the global lender's board of executive directors is scheduled to meet.

Sharif specially thanked China for helping Pakistan to secure the bailout, but declined to provide further details.

The IMF had asked Pakistan to broaden the country's tax base and eliminate energy subsidies, a demand Sharif's government has already implemented, raising concerns among Pakistanis who say they are unable to pay high energy bills.

Pakistan's Finance Ministry said Thursday in a statement that all the matters with the IMF have been finalized “amicably.”

Thursday's announcement comes two months after the IMF said it had reached a staff-level agreement with Pakistan for the new $7 billion loan deal.

Pakistan is currently facing one of its worst economic crises and Sharif has expressed hope that the country would be able to reduce its reliance on foreign loans in the years to come.

The new loan deal, if approved by the IMF's board of executive directors, would last for 37 months.