The International Monetary Fund (IMF) has confirmed that its mission will visit Pakistan this month to discuss a new program, just as Islamabad gears up for its annual budget-making process for the next financial year.<\/p>\n
Last month, Pakistan successfully concluded a short-term $3 billion program with the IMF, averting a sovereign default. However, Prime Minister Shehbaz Sharif’s administration has emphasized the necessity of a fresh, longer-term program.<\/p>\n
“In May, a mission is expected to visit Pakistan to deliberate on the FY25 budget, policies, and reforms under a potential new program for the welfare of all Pakistanis,” stated the IMF in response to Reuters inquiries.<\/p>\n
The Pakistani government’s fiscal year spans from July to June, and the budget for fiscal year 2025, the inaugural one under PM Shehbaz’s new government, must be presented before June 30.<\/p>\n
While the IMF didn’t provide specific dates for the visit or details regarding the programme’s size or duration, it underscored the importance of accelerating reforms over the programme’s size. The programme will be tailored to the reform package and balance of payments requirements.<\/p>\n
Last summer, Pakistan narrowly avoided default, and its $350 billion economy has stabilized post the completion of the previous IMF programme. Inflation has also decreased from a record high of 38% in May last year to around 17% in April.<\/p>\n
However, the government still faces a significant fiscal shortfall. While it has managed to control its external account deficit through import control measures, this has led to stagnant growth, projected to be around 2% this year compared to negative growth last year.<\/p>\n
Finance Minister Muhammad Aurangzeb, in an interview with Reuters, expressed hope to finalize the parameters of a new IMF loan in May. Pakistan is anticipated to request at least $6 billion and seek additional financing from the Fund under the Resilience and Sustainability Trust.<\/p>\n","protected":false},"excerpt":{"rendered":"
The International Monetary Fund (IMF) has confirmed that its mission will visit Pakistan this month to discuss a new program, just as Islamabad gears up for its annual budget-making process for the next financial year. Last month, Pakistan successfully concluded a short-term $3 billion program with the IMF, averting a sovereign default. However, Prime Minister […]<\/p>\n","protected":false},"author":2,"featured_media":2393,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[131,30,16],"tags":[103],"ppma_author":[95],"class_list":{"0":"post-2866","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"category-latest","9":"category-pakistan","10":"tag-top-stories"},"yoast_head":"\n