A view of the International Monetary Fund (IMF) logo at its headquarters in Washington, D.C., U.S., November 24, 2024. REUTERS
KARACHI, (Reuters) – Pakistan and the International Monetary Fund made “considerable progress” in talks on the latest reviews of the country’s bailout programme but have yet to reach a staff-level agreement, with discussions continuing as officials assess the impact of the Middle East conflict on the economy, the Fund said on Wednesday.
- “While considerable progress was made in the discussions, these will continue in the coming days,” IMF mission chief Iva Petrova said in an end-of-mission statement.
- The IMF team and Pakistani authorities will continue discussions in the coming days with a view to concluding the reviews, Petrova said.
- Talks assessed risks from the Middle East conflict and rising energy prices to Pakistan’s economy, balance of payments and external financing needs, as the country imports most of its fuel.
- Program implementation under the $7 billion Extended Fund Facility (EFF) has remained broadly aligned with authorities’ commitments through end-February 2026, the IMF said.
- Pakistan has also made “good progress” implementing climate resilience reforms under the RSF, aimed at strengthening resilience to climate shocks.
- Talks focused on fiscal consolidation, tight monetary policy and energy sector reforms.
- Discussions covered the third review of Pakistan’s 37-month EFF and the second review of the 28-month Resilience and Sustainability Facility.
Reporting by Mrinmay Dey in Mexico City and Ariba Shahid in Karachi; Editing by Christian Schmollinger and Stephen Coates
