The executive board of the International Monetary Fund (IMF) on Tuesday approved the sixth and final review of Zambia's extended credit facility, it said in a statement, paving the way for a disbursement of $190-million. 

The Southern African nation reached a $1.3-billion financing agreement with the IMF in 2022, to support the economy as it navigated its way out of a debt default, before it was later expanded to $1.7-billion.

"Despite external and domestic shocks, Zambia has significantly reduced macroeconomic imbalances, made considerable progress on debt restructuring, and undertaken sustained fiscal consolidation while safeguarding social spending," said Nigel Clarke, IMF's deputy managing director.

The government in Lusaka initially wanted to secure a one-year extension to the deal, before it changed its mind and opted to let the program expire without an extension request. No reason was given for the decision.

Zambia, which had hoped to secure about $145-million in additional funding through the extension, will hold an election in August, with President Hakainde Hichilema up for reelection.