Archive · 2 Jun 2025
IMF Imposes New Conditions on Pakistan, Cites India Risk
The International Monetary Fund (IMF) is giving Pakistan more rules for its loan program.
These rules cover things like the budget, taxes, and energy prices.
The IMF also warned that tensions with India could make it harder for Pakistan to meet its goals.
Some new rules include approving a large budget, reforming taxes, and making changes to energy tariffs.
The IMF wants Pakistan to be more careful with its money.
The IMF also wants Pakistan to allow import of used cars.
These rules are meant to help Pakistan fix its economy, but tensions with India could cause problems.
IMF imposed 11 new conditions on Pakistan for the next loan tranche.
The IMF report highlighted the risk of rising tensions between India and Pakistan.
New conditions include budget approval, agricultural income tax reforms, and governance action plans.
Energy sector changes include adjustments to electricity and gas tariffs.
Restrictions on the import of used motor vehicles will be lifted.
- Who
- The IMF and Pakistan's government.
- What
- IMF imposed 11 new conditions on Pakistan related to budget, taxes, governance, and energy.
- When
- The report was released on Saturday, May 18, 2024, and conditions are to be met by end of June 2025.
- Where
- Pakistan.
- Why
- The IMF imposed new conditions to ensure Pakistan meets its financial goals and reforms.
India's Perspective
IMF/Pakistan's Perspective
Funding Concerns
India's Perspective
India expressed concerns that IMF funding to Pakistan may be misused for terror infrastructure.
IMF/Pakistan's Perspective
Not addressed in the article.
- Federal Budget Size
- Rs 17.6 trillion
- Development Spending
- Rs 1.07 trillion
- Total IMF Conditions
- 50
- Defense Budget
- Rs 2.414 trillion
- Deadline for phasing out incentives for Special Technology Zones
- 2035
- Deadline to lift restrictions on used car imports
- End of July
