IMF team lands Thursday to review Pakistan’s $7bn programme

An International Monetary Fund review mission will arrive in Pakistan on Thursday for a two-week assessment of the economy under the $7 billion loan programme. The visit will determine Pakistan’s eligibility for the next $1 billion tranche, officials said. According to the Finance Ministry, the mission will begin with technical talks covering data from January to June 2025 and first-quarter results of the current fiscal year, followed by policy-level negotiations. Finance Minister Muhammad Aurangzeb is expected to lead Islamabad’s team in the high-stakes discussions. Beyond fiscal targets, the IMF will also examine progress on climate-related commitments, including the Resilience and Sustainability Facility that has approved $1.4 billion for Pakistan. Economic managers plan to persuade the Fund that stronger enforcement—not a mini-budget—can lift revenues. Sources indicate the government will seek relief measures acknowledging flood damage, including targeted electricity bill support for affected households, flexibility for distressed farm borrowers, and adjustments to Federal Board of Revenue targets. Officials contend revenue can be shored up through tighter implementation of existing policies while shielding vulnerable groups.