Pakistan to Finalize Public Relief Measures in Upcoming IMF Review Talks

The government will hold final discussions on proposed public relief measures during the upcoming economic review talks with the International Monetary Fund, as preparations intensify ahead of the next IMF mission.

Sources told ProPakistani the relief proposals were discussed during a recent meeting between Prime Minister Shehbaz Sharif and the IMF Managing Director. After returning to Pakistan, the prime minister directed relevant ministries to carry out detailed groundwork on the proposed measures.

According to officials, the IMF review mission is expected to arrive by the end of next month or in March. In anticipation, the Ministry of Finance, the Federal Board of Revenue, the Securities and Exchange Commission of Pakistan, and the Ministry of Commerce have begun coordinated technical work on their respective assignments.

The prime minister has formally tasked the concerned ministers and sought a detailed progress report within two weeks, sources added.

Officials said interest payments for the current fiscal year are projected to remain between Rs. 7,500 billion and Rs. 7,700 billion. However, improved financial management and refinancing efforts are expected to generate savings of around Rs. 500 billion to Rs. 600 billion on debt servicing during the year.

Sources said this expected fiscal space could help improve overall budgetary numbers and may allow limited relief measures, subject to IMF approval during the review talks.

Pakistan remains under close IMF monitoring as it seeks to balance fiscal consolidation with pressures to provide relief amid high inflation and economic slowdown. Any relaxation measures are likely to be tied to continued compliance with programme targets.