IMF Releases Crucial Funds Amidst Pakistan's Economic Reforms

The International Monetary Fund (IMF) has approved the release of a second tranche of USD 1.023 billion to Pakistan, a move that underscores the global lender's support for Pakistan's ongoing economic reform program. This disbursement is part of the Extended Fund Facility, which aims to stabilize Pakistan's economy amid challenging global conditions.

This tranche arrives at a crucial juncture when the IMF is conducting virtual discussions with Pakistani officials about the upcoming fiscal budget for 2025-26. Initially planned as an in-person meeting in Islamabad, the discussions were shifted online due to security concerns in the region.

The Pakistani government is expected to announce the budget on June 2. As the talks progress, the IMF plans to send a mission to Islamabad by May 23, continuing their detailed reviews and support efforts. This includes assessment of fiscal policies, such as maintaining a primary budget surplus, and ensuring sustainable economic growth.

(With inputs from agencies.)