Recent discussions between the International Monetary Fund (IMF) and Pakistani authorities have been described as constructive, focusing on economic stability and reform. Held in November 2024, the talks emphasized adhering to the $7 billion Extended Fund Facility (EFF), which aims to strengthen Pakistan’s economy through structural reforms and fiscal discipline.
The IMF praised Pakistan’s efforts in areas like energy sector reform and tax base expansion, critical for economic growth. It highlighted the importance of shifting social and development responsibilities to provincial governments to enhance efficiency. The talks also addressed the role of the private sector in driving growth, stressing the reduction of state intervention in the economy.
The IMF commended progress made under Pakistan’s previous agreements, including curbing inflation and rebuilding foreign exchange reserves. However, it underscored the need for sustained efforts in governance, tax reform, and infrastructure investment. A follow-up visit by IMF representatives is planned for early 2025 to assess further progress and challenges
