Archive · 2 Jun 2025
IMF Concludes Visit to Pakistan, Discusses Economic Plans
The IMF team visited Pakistan to discuss its economy.
They talked about the budget for 2026, which focuses on fiscal improvement, aiming for a surplus of 1.6% of GDP.
The IMF wants Pakistan to increase tax collection and manage spending wisely.
They also emphasized the importance of controlling inflation and stabilizing the currency to protect against external issues.
The next IMF review will happen in the second half of 2025.
Recently, the IMF gave Pakistan about $2.4 billion in funds, leading to objections from India due to conflicts.
IMF staff concluded a visit to Pakistan on May 19, 2025, to discuss economic policies.
Discussions included the FY26 budget and the Extended Fund Facility (EFF) and Resilience and Sustainable Facility (RSF) programs.
Pakistan aims for a primary surplus of 1.6% of GDP in FY26 by enhancing revenue and prioritizing expenditure.
The IMF wants Pakistan to maintain tight monetary policy to manage inflation within 5-7%.
India has raised concerns about the IMF's continued financial support for Pakistan.
- Who
- IMF, Pakistan, India
- What
- IMF discussing Pakistan's economic policies and budget.
- When
- May 19, 2025 (IMF visit)
- Where
- Pakistan
- Why
- IMF discussing economic plans; India raising concerns.
Indian Stance
IMF & Pakistan Stance
Funding Concerns
Indian Stance
India has objected to the IMF's continued financial support to Pakistan, warning that repeated bailouts risk enabling state-sponsored cross-border terrorism and undermining global financial integrity.
IMF & Pakistan Stance
The IMF is providing financial support to Pakistan.
- FY26 Primary Surplus Goal
- 1.6% of GDP
- Inflation Target Range
- 5-7%
- Next EFF/RSF Reviews
- Second half of 2025
- IMF Visit Start Date
- May 19, 2025
- Recent IMF Funding
- $2.4 billion
Sources
Met all conditions: IMF justifies $1 billion bailout to debt-ridden Pakistan
Explained: Why IMF gave Pakistan $1 billion despite India's objections
India to strike Pak economy, approach World Bank and terror financing body
'Met targets': IMF defends $1bn bailout package to Pak despite India's pushback
IMF confirms Pakistan funding issue didn’t come up for voting
