Pakistan set to share budget details with IMF, aiming to unlock stalled programme

Finance Minister Ishaq Dar announced on Sunday that Pakistan intends to provide the International Monetary Fund (IMF) with comprehensive details of its upcoming budget, with the aim of facilitating the release of delayed funds. During an interview, Dar confirmed that the IMF has requested further information regarding the budget, and Pakistan is prepared to comply with this requirement.

Pakistan’s receipt of $1.1 billion in funding from the IMF, as part of a $6.5 billion rescue package established in 2019, has encountered delays since November. In February, both the IMF and Pakistan engaged in two weeks of discussions in Islamabad, aiming to conclude the 9th review. However, the funds have not yet been disbursed by the IMF, which is crucial for Pakistan to access additional bilateral and multilateral financing.

Expressing his concerns, Dar emphasised his desire for the IMF to release the funds prior to the budget’s scheduled presentation in early June. He asserted that combining the 9th and 10th reviews would be unjust, and therefore advocated for a separate assessment of the current situation.

In summary, Pakistan’s Finance Minister Ishaq Dar has underscored the country’s commitment to fulfilling the IMF’s request for detailed budget information. This step is intended to overcome the impasse in the release of funds, which are vital for Pakistan to access other forms of financial assistance. Minister Dar has further urged the IMF to release the funds prior to the budget presentation, highlighting the unfairness of merging two distinct reviews.