IMF and Pakistan reach staff-level agreement, paving way for USD 1.21 billion

The International Monetary Fund (IMF) and Pakistan have reached a staff-level agreement on the fourth review of the country’s 37-month Extended Fund Facility (EFF) and the third review of its 28-month Resilience and Sustainability Facility (RSF).

The agreement could give Pakistan access to about USD 1.21 billion, comprising roughly USD 1 billion under the EFF and USD 210 million under the RSF, subject to approval by the IMF Executive Board.

The latest agreement follows an extensive round of discussions between the two sides. An IMF team led by Iva Petrova held talks with Pakistani authorities in Karachi and Islamabad from September 23 to October 7, alongside discussions for the 2026 Article IV consultation.

Pakistan has already received around USD 4.8 billion under the two IMF arrangements. The amount includes disbursements following the first three EFF reviews and the first two RSF reviews, with the latest completed review in May 2026 releasing about USD 1.1 billion under the EFF and USD 220 million under the RSF.

With approval of the latest review, total disbursements under the EFF and RSF are expected to rise to around USD 5.7 billion, according to the IMF.

Pakistan’s current USD 7 billion EFF was approved in September 2024 for 37 months, while the 28-month RSF arrangement provides additional financing linked to climate and resilience-related reforms. The EFF focuses on restoring macroeconomic stability, rebuilding reserves, broadening the tax base and advancing structural reforms, while the RSF supports measures aimed at strengthening resilience to climate-related risks.

The latest review is therefore another major checkpoint in Pakistan’s ongoing IMF programme, with the agreement still requiring formal approval from the IMF Executive Board before the funds can be released.