Overview
- The IMF Executive Board will take up Pakistan’s third review under its Extended Fund Facility and the second review under its Resilience and Sustainability Facility on May 8, a decision that could free $1.21 billion.
- If cleared, Pakistan would receive about $1.0 billion from the stabilization-focused EFF and about $210 million from the climate-focused RSF, lifting total disbursements under both to roughly $4.5 billion.
- The meeting follows a March 27 staff-level deal after talks in Karachi and Islamabad that focused on tighter budgets, broader taxes, energy sector fixes, and stronger public finance controls.
- The IMF said recent policies kept inflation contained, held the current account in check, and strengthened external buffers, though the economy still faces weak growth and financing needs.
- Analysts expect the verdict to sway markets because IMF approval often steadies the currency and can unlock other funding, yet energy price swings, tougher global credit, and the Middle East conflict remain clear risks.