IMF Team to Arrive in Pakistan by End-September as Reforms Gain Pace

Finance Minister Muhammad Aurangzeb announced Tuesday that an International Monetary Fund (IMF) delegation will visit Pakistan at the end of September. The country is expecting to receive the third tranche of $1 billion upon successful completion of the next economic review.

Speaking informally to SAMAA, Aurangzeb said preparations for the review were complete. Pakistan has already received $2.1 billion out of the $7 billion Extended Fund Facility, which spans 37 months.

Aurangzeb highlighted progress in the privatization of state-owned enterprises, including PIA’s reopening of routes to Europe and the UK, which has attracted major bidders. He noted that while the airline’s situation has improved, reforms in other loss-making entities—collectively responsible for Rs6 trillion in losses—will take time. Twenty-four such entities have been marked for privatization, with governance reforms under way.

He further stated that pension reforms have been implemented, privatization will accelerate this year, and rightsizing is ongoing in 43 ministries and over 400 departments. Last year’s debt servicing costs, he said, were reduced by Rs1 trillion.

Aurangzeb added that the government is working to reduce electricity tariffs, with a task force focusing on lowering energy costs in the coming days. He pointed out that global recognition of Pakistan’s economic progress has come through two international rating upgrades, with a third expected soon.

The finance minister also revealed plans to issue Panda bonds by year-end, noted that the policy rate has fallen to 11 percent, and said CEO confidence has risen by 84 percent. He stressed that trade agreements with the United States must be leveraged for further growth.