Islamabad: The International Monetary Fund (IMF) Executive Board will meet today to approve the new tranche of 1.2 billion dollars in aid for Pakistan.
According to the sources, Pakistan will receive $1.2 billion from this tranche, with an additional $200 million expected under climate financing initiatives. The approval follows a staff-level agreement reached between Pakistan and the IMF in October, after Pakistan fulfilled all conditions necessary for disbursement.
The IMF had set a condition that before the board meeting, Pakistan must release the IMF report related to the analysis of corruption and governance, and Pakistan has now issued this report.
One key condition was the release of the Corruption and Governance Diagnostic Report, which Pakistan has now publicly issued. This report was a prerequisite for the tranche release and demonstrates progress in governance reforms.
Pakistan's current loan program, secured in September 2024, spans 37 months. The country has already received two tranches: $1 billion in September 2024 and another $1 billion in May 2025. The upcoming approval will mark the third tranche under this program, further supporting Pakistan’s economic stabilization efforts.
The IMF staff mission has expressed satisfaction over Pakistan’s economic progress.
In its report, the IMF praised the State Bank’s tight monetary policy and recommended that this strict monetary policy should be continued in the future as well.
This development marks a significant step in Pakistan’s ongoing engagement with the IMF under its current loan program.
