WASHINGTON: The International Monetary Fund (IMF) reaffirmed its support for Pakistan’s economic reform agenda, announcing that its Executive Board has approved funding after the country successfully met all targets under the Extended Fund Facility (EFF) programme.
IMF spokesperson Julie Kozack, speaking to reporters on Thursday, said the approval followed a comprehensive review by the Fund’s Board, which confirmed Pakistan’s progress on agreed reforms and compliance with program benchmarks.
“In the case of Pakistan, our Board found that Pakistan had indeed met all of the targets. It had made progress on some of the reforms, and for that reason, the Board went ahead and approved the programme,” said Kozack.
She clarified that the disbursed funds are allocated solely to the State Bank of Pakistan and remain subject to strict safeguards and conditions. These periodic reviews, she noted, are part of standard IMF procedures to assess program progress and determine if any adjustments are required.
Kozack’s comments come at a time when Pakistan is working to stabilize its economy amid rising inflation, fiscal pressures, and external debt challenges. The IMF’s endorsement offers a boost to investor confidence and signals continued international support.
Responding to questions about recent geopolitical tensions between Pakistan and India, Kozack expressed the Fund’s sympathies for the human toll of the conflict and called for peaceful resolution.
“We do hope for a peaceful resolution of the conflict,” she said.
Regarding the appointment of India’s Executive Director at the IMF, Kozack emphasized that such appointments are a sovereign matter for each member state. “It’s completely up to the country authorities to determine who represents them at the Fund,” she noted.
The latest IMF approval comes at a crucial time as Pakistan looks to secure further international support and stabilize its economy ahead of upcoming budgetary announcements and potential negotiations for a new long-term economic program.
