New Delhi: The International Monetary Fund (IMF) is conducting a critical review of Pakistan’s financing facilities at a crucial board meeting in Washington on Friday.
Pakistan has sought a fresh resilience and sustainability facility (RSF) lending programme of $1.3 billion.
As has been its stated stand, India objected to the latest bailout package for Pakistan, raising concerns that the country has a poor track record and misuses funds on state-sponsored cross-border terrorism.
India’s views have been noted by IMF, and a final decision is awaited.
The International Monetary Fund (IMF) today reviewed the Extended Fund Facility (EFF) lending program ($1 billion) and also considered a fresh Resilience and Sustainability Facility (RSF) lending program ($1.3 billion) for Pakistan. As an active and responsible member country,… pic.twitter.com/qGbHJF4SeK
— ANI (@ANI) May 9, 2025
Pakistan economy has been struggling, burdened as it is with significant debt and cash flow challenges. The IMF’s decision will be extremely crucial, more so as Pakistan has been stubbornly continuing the military conflict with India after being shaken up by Operation Sindoor in which more than 80 terrorists were killed across 9 locations in Pakistan and PoK.
Pakistan has received as many as 25 loans from the IMF since joining in 1958, the most recent being a $7 billion agreement in September 2024. A $1.3 billion loan was also approved for climate change in March 2024.
“As an active member country, India raised concerns over the efficacy of IMF programmes with respect to Pakistan, given its poor track record and the possibility that it misuses debt-financing funds for state-sponsored cross-border terrorism. The IMF took note of the India’s remarks and its abstention from the vote,” an India government PIB release stated.