July 18 (Reuters) – The International Monetary Fund’s executive board has approved a $271 million Extended Credit Facility for Burundi, with an immediate disbursement of over $62 million, the IMF said in a statement late on Monday.

The East African country’s economy is just starting to recover from years of conflict and political upheaval under former leader Pierre Nkurunziza that left key sectors blighted.

The IMF said the loan facility will help address Burundi’s protracted balance of payments needs, rebuild external buffers and support the government’s reform agenda.

It said this was Burundi’s first Upper Credit Tranche-quality arrangement with the IMF since 2015 and that it was expected to “catalyse donor funding, which is essential to cater to Burundi’s large financing needs and support its exit from fragility”.

This is a developing story…

(Reporting by Alexander Winning; Editing by Kim Coghill)