President Asif Ali Zardari on Tuesday reaffirmed Pakistan’s commitment to fiscal sustainability, energy sector reforms, privatisation and social protection, saying the government was pursuing inclusive and green economic growth.
In a meeting with International Monetary Fund (IMF) Middle East and Central Asia Department Director Jihad Azour at Aiwan-e-Sadr in Islamabad, the president said Pakistan had moved from economic stabilisation towards recovery, according to a press release issued by the President’s Secretariat.
The president cited an increase in the size of the economy to $452.1 billion in the fiscal year 2025-26, while real gross domestic product (GDP) growth accelerated to 3.7% from 3.2% in the preceding fiscal year.
He also highlighted improvements in fiscal management, saying the fiscal deficit had declined to 2.6% of GDP in FY2025-26 and the country recorded a primary surplus for the third consecutive year.
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President Zardari appreciated the IMF’s continued engagement with Pakistan and its support for the country’s reform programme under the Extended Fund Facility (EFF) and the Resilience and Sustainability Facility (RSF).
Referring to the conclusion of the fourth review of the EFF and the third review of the RSF, along with the staff-level agreement, he expressed confidence in the country’s continued progress towards “economic recovery and stability”.
The president reiterated the government’s commitment to increasing revenue mobilisation, improving tax administration and reforming public sector institutions. He said efforts were underway to expand tax documentation, digitalise revenue collection and curb tax evasion.
He added that the reform programme enjoyed the support of all political stakeholders, with provincial governments also contributing towards meeting the agreed targets.
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The president also underscored Pakistan’s efforts to promote peace amid the ongoing conflict in the Middle East.
Azour acknowledged Pakistan’s continued engagement with the IMF under the ongoing programme and stressed the need to sustain reforms to strengthen macroeconomic stability, maintain fiscal discipline and support sustainable economic growth.
The IMF delegation included Pakistan mission chief Iva Petrova and resident representative Mahir Binici.
Finance Minister Muhammad Aurangzeb, Senator Sherry Rehman, Senator Saleem Mandviwalla, former finance minister Syed Naveed Qamar and the finance secretary also attended the meeting.
Pakistan remains engaged with the IMF under a $7 billion EFF and a $1.4 billion RSF. Earlier this month, Pakistan and the Fund reached a staff-level agreement following the fourth review under the EFF and the third review under the RSF.
The staff-level agreement is subject to approval by the IMF Executive Board and upon approval, Pakistan will have access to about $1 billion (SDR 760 million) under the EFF and about $210 million (SDR 154 million) under the RSF, bringing total disbursements under the two arrangements to about $5.7 billion.
Pakistan will chair the Boards of Governors of the IMF and the World Bank Group in 2027, marking the country's first return to the leadership of both institutions since 1953.
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