Pakistan’s policy measures implemented under the International Monetary Fund’s Extended Fund Facility (EFF) have helped stabilise the country’s economy and restore investor confidence, an IMF spokesperson said on Thursday.
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Speaking during a weekly press briefing, Julie Kozack, Communications Director of the International Monetary Fund, said Pakistan had made notable progress in meeting programme targets.
“Pakistan’s policy efforts under the EFF have helped stabilise the economy and rebuild confidence,” she said, adding that the country’s fiscal performance remained strong.
Kozack noted that Pakistan had achieved a primary fiscal surplus of 1.3 per cent of gross domestic product (GDP), describing it as consistent with programme benchmarks. She also highlighted that headline inflation had remained relatively contained, while Pakistan recorded its first current account surplus in 14 years during fiscal year 2025.
An IMF staff mission is expected to visit Pakistan from February 25 to hold discussions on the third review under the EFF as well as the second review under the Resilience and Sustainability Facility (RSF).
The spokesperson also referred to the IMF’s Governance and Corruption Diagnostic report, which proposes key structural reforms, including simplifying tax policy design, ensuring fair competition in public procurement, and improving transparency in asset declarations.
An IMF delegation led by Iva Petrova is scheduled to conduct the review of Pakistan’s $7 billion EFF programme and the $1.1 billion RSF facility later this month. During the nearly two-week visit, expected to conclude on March 11, discussions will also focus on budget proposals for fiscal year 2026-27, particularly regarding provincial finances.
Officials said programme performance up to December 2025 has largely remained on track despite a revenue shortfall. Authorities expect improvement following a recent ruling by the Federal Constitutional Court in favour of the government regarding the super tax.
Upon successful completion of the review, Pakistan is expected to receive around $1 billion under the EFF and an additional $200 million under the RSF by the end of April.
The EFF is a long-term IMF lending programme aimed at helping countries address structural economic challenges and medium-term balance-of-payments pressures.
