Washington, Oct. 8 -- Trapped in a persistent economic quagmire of its own making, a mismanaged Pakistan has secured yet another bailout lifeline after the International Monetary Fund reached a staff-level agreement with Islamabad to unlock about USD 1.21 billion in additional financing, even as the lender warned that geopolitical tensions, high energy prices and trade disruptions continue to threaten the country's economic recovery.

The arrangement encompasses the fourth review of Pakistan's 37-month Extended Fund Facility (EFF), alongside the third review of its 28-month Resilience and Sustainability Facility (RSF), as announced by the IMF on Wednesday.

Formal endorsement from the IMF Executive Board remains a prerequisite before any ...