ISLAMABAD (PEN) : An International Monetary Fund (IMF) mission is set to visit Pakistan between early and mid-March to hold crucial discussions regarding the first review of the country’s Extended Fund Facility (EFF) programme. This mission will focus on evaluating Pakistan’s progress under the $7 billion bailout program, which aims to guide the nation towards economic recovery.
In a statement, the IMF confirmed that its staff team will visit Islamabad to conduct the review, as well as address Pakistan’s request for assistance under the Resilience and Sustainability Facility (RSF). In preparation, a technical team from the IMF will arrive in late February to work on the details of a potential RSF arrangement.
Pakistan’s financial situation remains delicate, with the country narrowly avoiding a sovereign debt default due to its insufficient reserves. A successful review of the current IMF program could unlock around $1 billion in financial aid, helping to stabilize the nation’s economy.
Alongside the review, the IMF mission will also discuss $1 billion in climate financing for Pakistan. This funding, which is part of the IMF’s Resilience and Sustainability Trust, aims to help Pakistan combat the impacts of climate change by supporting initiatives focused on adaptation and the transition to cleaner energy.
Pakistan had formally requested this climate-related funding from the IMF in October 2024, highlighting the country’s vulnerability to climate-related disasters. The financing would be a critical step towards enhancing Pakistan’s resilience to the ongoing climate crisis.
