ISLAMABAD, PAKISTAN: The International Monetary Fund (IMF) has said that “significant progress” has been achieved in its discussions with Pakistan, as both sides move closer to reaching a staff-level agreement (SLA) under the ongoing Extended Fund Facility (EFF) and Resilience and Sustainability Facility (RSF) programmes.
An IMF delegation, led by Iva Petrova, held detailed policy discussions with economic managers in Karachi and Islamabad from September 24 to October 8. The talks focused on Pakistan’s economic outlook, fiscal discipline, inflation control, and reforms in the energy and tax sectors.
The IMF acknowledged Pakistan’s efforts to stabilize its economy despite challenging circumstances, including high inflation, external financing pressures, and the aftermath of recent floods. The Fund noted that authorities had taken meaningful steps toward fiscal consolidation, monetary tightening, and improvements in governance and transparency.
According to the IMF, both sides have agreed on the need to protect vulnerable populations while maintaining reform momentum. The Fund emphasized that continued efforts are required to strengthen the financial sector, enhance energy efficiency, and support climate resilience.
Pakistan’s finance team, meanwhile, expressed confidence that the upcoming staff-level agreement will pave the way for the next disbursement and help bolster investor confidence. Officials reaffirmed the government’s commitment to executing reforms aimed at sustainable growth and economic recovery.
The IMF mission appreciated the cooperation of Pakistan’s authorities, private sector representatives, and development partners, adding that a formal announcement of the agreement is expected soon after remaining technical matters are finalized.
This story has been reported by PakTribune. All rights reserved.