Karachi: Pakistan authorities and International Monetary Fund (IMF) have made “Significant progress” towards reaching staff-level agreement on new programme, according to an end-of-mission statement posted on lender’s website.

IMF mission, which concluded its visit on May 23, was in Islamabad to discuss Pakistan’s pursuit of a longer, larger Extended Fund Facility (EFF). “Building on economic stabilisation achieved through successful completion of 2023 Stand-by Arrangement (SBA), IMF and Pakistani authorities made significant progress toward reaching Staff Level Agreement (SLA) on comprehensive economic policy and reform programme that can be supported under an Extended Fund Facility,” IMF Mission Chief to Pakistan Nathan Porter was quoted as saying in statement.

“Authorities’ reform programme aims to move Pakistan from economic stabilisation to strong, inclusive and resilient growth. “To achieve this, authorities plan to continue to strengthen public finances to reduce vulnerabilities by improving domestic revenue mobilisation through fairer taxation while scaling up spending for human capital, social protection and climate resilience, secure energy sector viability, including reforms to reduce high cost of energy, continue progress towards low and stable inflation by appropriate monetary and exchange rate policies, improve public service provision through state-owned enterprise restructuring and privatisation and promote private sector development, by securing level-playing field for investment and stronger governance.

Many analysts believe that IMF and Pakistan will be able to reach staff-level agreement once government presents budget on June 7.