WASHINGTON: The International Monetary Fund on Wednesday announced it would give Pakistan a 451-million-dollar loan to help the country recover from devastating floods.

"The board`s approval enables the immediate disbursement of the full amount of this emergency assistance," the Washington-based body said in a statement.

Monsoon floods, which began six weeks ago, have left 10 million people without shelter across the country, according to UN figures, with 21 million people affected and eight million surviving on aid handouts.

The IMF said they hoped the cash would "help the country manage the immediate aftermath of the massive and devastating floods that have hit the country" and spur more lending by international donors.

The loan is designed to help Pakistan fill the budget hole left by flooding.

"Pakistan`s economic outlook has deteriorated sharply as a result of the floods. The agriculture sector, which accounts for 21 percent of Gross Domestic Product and 45 percent of employment, has been hit particularly hard" the IMF said.


BDST: 1847 HRS, September 16, 2010