The International Monetary Fund (IMF) has praised Pakistan’s economic reforms, with Deputy Managing Director Bo Li describing the country as “a very good example of embarking on the right path of reform and resilience,” according to a Finance Division statement Saturday.
Bo Li said the IMF will provide $1.3 billion under the Resilience and Sustainability Facility (RSF) to enhance Pakistan’s fiscal, financial, and climate resilience. The funding will support green budgeting, climate-risk assessments, improved data transparency, and climate-resilient infrastructure planning.
The remarks came as Finance Minister Muhammad Aurangzeb spoke at the 23rd Doha Forum on December 6–7, addressing global trade tensions and economic policy in the Middle East and North Africa (MENA). Aurangzeb highlighted Pakistan’s fiscal recovery, noting a primary fiscal balance and current account surplus, bolstered by $18–20 billion in annual remittances from MENA and GCC countries.
He emphasized Pakistan’s trade and product diversification, with IT services exports projected to reach nearly $4 billion in 2025, and growing engagement with Gulf countries and Central Asian republics including Azerbaijan, Turkmenistan, and Kazakhstan. Aurangzeb also called for urgent climate financing after severe floods cut at least 0.5% from GDP this year.
Aurangzeb held bilateral talks with Qatar’s Finance Minister H.E. Ali Bin Ahmed Al Kuwari, reaffirming economic and technological cooperation. Both ministers highlighted the GCC–Pakistan Free Trade Agreement as a milestone expected to expand trade flows and LNG collaboration. Qatar identified Pakistan’s digital talent as a key asset, particularly in artificial intelligence and emerging technologies.
On strategic partnerships, Aurangzeb noted the transition to CPEC Phase 2.0 and new collaboration with the United States in minerals, mining, AI, blockchain, and Web 3.0. He highlighted programs to upskill Pakistan’s youth and freelancer community, enabling higher earnings through advanced digital competencies.
The IMF’s Executive Board is scheduled to review Pakistan’s request for a $1.2 billion disbursement on December 8, covering the second review of the Extended Fund Facility (EFF) and the first review of the RSF. Bo Li reiterated the IMF’s support for Pakistan in building long-term resilience against fiscal, economic, and climate risks.
