IMF, Pakistan Working to Pave Way for Board Meeting Before Current Program Expires

The International Monetary Fund (IMF) continues the engagement with the Pakistani authorities to pave the way for a Board meeting before the current program expires in end-June, IMF Mission Chief to Pakistan Nathan Porter said on Monday. The statement said that the focus is on the restoration of foreign exchange proper market functioning, the passage of the fiscal year 2024 budget consistent with program goals, and adequate financing. He further stated that overcoming the present economic and financial challenges would require sustained policy efforts and reforms for Pakistan to regain strong and inclusive private-led growth. The IMF Resident Representative in Pakistan Esther Perez Ruiz shared the statement, while saying that it answers a number of recent press questions. “We take note of recent political developments, and while we do not comment on domestic politics, we do hope that a peaceful way forward is found in line with the Constitution and the rule of law,” the statement added. More broadly, overcoming the present economic and financial challenges would require sustained policy efforts and reforms for Pakistan to regain strong and inclusive private-led growth. Strengthening domestic revenue mobilization and eliminating state-owned enterprises (SOE) losses to create fiscal space are also critical for ongoing sustainability, reducing inefficiencies that affect the private sector, and allowing a scaling up of social and development spending, the statement added.