IMF mission arrives in Pakistan for $8.4bn loan reviews amid flood crisis

September 26, 2025 (MLN): An International Monetary Fund (IMF) mission has arrived in Pakistan to conduct crucial reviews of the country’s ongoing bailout and climate financing programs, the lender confirmed on Thursday.

The delegation will hold the second review of the $7 billion Extended Fund Facility (EFF) and the first review of the $1.4bn Resilience and Sustainability Facility (RSF), both vital for Pakistan’s economic stability and climate resilience.

The IMF approved the $7bn bailout package under its EFF program in September 2024 to support Pakistan’s struggling economy.

In May 2025, the global lender sanctioned an additional $1.4bn RSF loan to help Pakistan build resilience against climate change impacts and natural disasters.

The mission’s arrival follows a high-profile meeting between Prime Minister Shehbaz Sharif and IMF Managing Director Kristalina Georgieva in New York on the sidelines of the United Nations General Assembly session.

Sharif reiterated Pakistan’s commitment to IMF targets but urged the Fund to consider the economic fallout of recent floods in its upcoming review.

“[The IMF mission will] hold discussions on the second review under the Extended Fund Facility and the first review of the Resilience and Sustainability Facility,” said Mahir Binici, IMF’s Resident Representative in Pakistan, while speaking to Arab News.

So far, Pakistan has received over $2bn disbursements under the EFF and is eyeing a third tranche of $1bn, contingent on the successful completion of the ongoing review.

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