The International Monetary Fund (IMF) announced that it has reached a staff-level agreement with Pakistan following the third review of its Extended Fund Facility (EFF) and the second review of the Resilience and Sustainability Facility (RSF), paving the way for a disbursement of approximately $1.2 billion.
According to an IMF statement, the agreement covers the ongoing 37-month EFF programme and the 28-month RSF arrangement. However, the deal remains subject to approval by the IMF Executive Board.
Once approved, Pakistan will gain access to around $1.0 billion (SDR 760 million) under the EFF and an additional $210 million (SDR 154 million) under the RSF. This will bring total disbursements under both programmes to nearly $4.5 billion.
The IMF stated that economic policies under the EFF have helped stabilise the economy and restore market confidence. Following a recovery in FY2025, economic activity has continued to pick up pace in the early months of the current fiscal year. Inflation and the current account have remained under control, while external reserves have shown improvement.
However, the Fund said that ongoing conflict in the Middle East poses risks to the economic outlook, warning that fluctuating energy prices and tighter global financial conditions could increase inflationary pressures and impact growth and the current account balance.
FBR urges retailers to link businesses with IMF
Pakistan has integrated 12,861 significant retailers, which include shopping centers, textile and leather enterprises, as well as restaurants, into its Point of Sale (POS) system as part of its initiatives to fulfill the requirements established by the International Monetary Fund (IMF).
As stated by the Federal Board of Revenue (FBR), it is now compulsory for prominent retailers functioning within the country to connect their operations to the authority’s computerised system.
Officials indicated that this action is part of a broader effort to document various sectors of the economy in accordance with agreements made with the IMF.
Read more: Pakistan links major retailers to tax system under IMF conditions
