Pakistan Set to Finalize Public Relief Measures Ahead of IMF Review Talks

The government is set to hold final discussions on proposed public relief measures during upcoming economic review talks with the International Monetary Fund, as preparations ramp up ahead of the next IMF mission. Sources indicate that the relief proposals were reviewed during a recent meeting between Prime Minister Shehbaz Sharif and the IMF Managing Director, after which the prime minister instructed relevant ministries to carry out detailed groundwork.

The IMF review mission is expected to arrive by late February or March. In preparation, the Ministry of Finance, Federal Board of Revenue, Securities and Exchange Commission of Pakistan, and Ministry of Commerce have begun coordinated technical work on their respective assignments. The prime minister has also requested a detailed progress report from concerned ministers within two weeks.

Officials project interest payments for the current fiscal year to remain between Rs. 7,500 billion and Rs. 7,700 billion. Improved financial management and refinancing efforts are expected to generate savings of around Rs. 500 billion to Rs. 600 billion, potentially creating fiscal space for limited relief measures, subject to IMF approval. Pakistan remains under close IMF monitoring, with any relaxation measures likely tied to continued compliance with programme targets amid high inflation and economic slowdown.