KARACHI, Pakistan, April 3 (Reuters) - Pakistan's benchmark share index hit a record high on Wednesday, rising 1.2% during intraday trade, data from the Pakistan Stock Exchange Website showed.

The index is extending a rally that followed a staff-level agreement with the International Monetary Fund signed in March which, if cleared by the global lender's board, will release about $1.1 billion to the struggling South Asian nation.

On March 28 the benchmark KSE-100 touched a record high of 67,246.02 points in intraday trade, before settling at 67,142.12 - a record close. On Wednesday it beat both levels to peak at 67,675 points.

Both the IMF and Pakistan have spoken about negotiating a longer-term bailout and continuing with necessary policy reforms to rein in deficits, build reserves and manage soaring debt servicing.

Pakistan's new government, led by Prime Minister Shehbaz Sharif, has also resolved to follow through with a long-delayed process to privatise loss-making state-owned enterprises that have drained critical funds from the cash-strapped government.

On Tuesday, the government in a newspaper advertisement set a deadline of May 3 for statements of interest in national flag carrier Pakistan International Airlines, which has piled up arrears of hundreds of billions of rupees (Reporting by Ariba Shahid in Karachi; Editing by Himani Sarkar and Jan Harvey)