PM Shehbaz urges the IMF to consider flood losses in the review

Prime Minister Shehbaz Sharif met IMF Managing Director Kristalina Georgieva and World Bank President Ajay Banga on Wednesday, on the sidelines of the 80th UN General Assembly session, to discuss Pakistan’s economic reforms and future cooperation with both institutions.

During his meeting with Georgieva, the prime minister praised the IMF’s strong partnership with Pakistan under her leadership. He acknowledged the timely support provided through various programs, including the $3 billion Stand-By Arrangement, the $7 billion Extended Fund Facility, and the $1.4 billion Resilience and Sustainability Facility. He said Pakistan’s economy, strengthened by structural reforms, was showing signs of stability and recovery. However, he stressed that the devastating impact of recent floods should be considered in the upcoming IMF review.

An IMF team will visit Pakistan on September 25, 2025, for the second semi-annual review of the Extended Fund Facility, covering the March and June quarters. A successful review would unlock a $1 billion tranche, raising total disbursements under the program to over $2 billion. Georgieva expressed sympathy for flood victims and reaffirmed the IMF’s commitment to supporting Pakistan’s reforms.

In his meeting with World Bank President Ajay Banga, the prime minister commended the institution’s fast and efficient role under Banga’s leadership. He appreciated the World Bank’s support during COVID-19 and the 2022 floods. The prime minister outlined Pakistan’s reform agenda, including resource mobilization, privatization, energy sector reforms, and climate resilience, which he said were restoring investor confidence and promoting inclusive growth.

Banga praised Pakistan’s efforts and confirmed continued support through the new Country Partnership Framework 2026–2035, which includes an unprecedented $40 billion commitment. The prime minister assured that Pakistan would work closely with provincial governments to ensure effective implementation of this framework for long-term economic development.