IMF chief expresses satisfaction over Pakistan's economic reform programme

Says sustained reforms could support faster economic growth in Pakistan

International Monetary Fund (IMF) Managing Director Kristalina Georgieva has expressed satisfaction with Pakistan’s economic reform programme, saying the implementation of the government’s reform agenda has helped achieve macroeconomic stability, Arab News reported.

Georgieva said Prime Minister Shehbaz Sharif’s government had made progress through a strong reform programme, which had contributed to improvements in fiscal discipline, external reserves and investor confidence.

She said Pakistan’s efforts included the introduction of a new national tariff policy, increasing domestic revenues and advancing the privatisation process.

“Strong reforms have helped Pakistan maintain economic stability and restore confidence,” Georgieva was quoted as saying.

She added that Pakistan had regained access to international financial markets, while continued implementation of reforms could help accelerate economic growth and improve living standards.

Read More: IMF fourth review next major test

The IMF chief said sustained reforms could support faster economic growth in Pakistan.

The remarks came as the IMF began discussions with Pakistan for the fourth review of the country’s $7 billion economic programme.

Talks have also started on the third review of Pakistan’s $1.4 billion climate resilience programme.

Successful completion of both reviews could pave the way for around $1.2 billion in financing for Pakistan, including about $1 billion under the economic programme and $200 million under the climate facility.

During the reviews, the IMF will assess Pakistan’s progress on reforms and commitments made under the programmes.

Also Read: PM Shehbaz says IMF raises no serious concerns over Rs100 fuel subsidy after meeting Georgieva at UNGA

A day earlier, PM Shehbaz said the IMF had not expressed any serious concerns over Pakistan’s targeted subsidy of Rs100 per litre during his meeting with the Fund’s managing director on the sidelines of the United Nations General Assembly session in New York.

Speaking to The Express Tribune after meeting Georgieva, the prime minister said he had briefed her in detail on the pressure Pakistan faces and the difficulties confronting low-income people.

“We drew the IMF chief’s attention to the question of where the poor man would go,” the premier said, adding that the targeted subsidy was being distributed through a comprehensive and transparent mechanism.

Later, in a post on X, the IMF managing director hailed Pakistan’s implementation of reforms, saying they had helped preserve stability, restore confidence and regain market access.

“I had the opportunity to meet with Prime Minister Shehbaz Sharif on the margins of UNGA to discuss Pakistan’s reforms,” she said.

“Continuing reforms will help boost economic growth and improve the living standards of the people," said the IMF chief.