The International Monetary Fund (IMF) has acknowledged signs of economic stabilization in Pakistan, as its team prepares to visit the country from February 25 for key program reviews.

IMF Director of Communications Julie Kozak made the remarks during a press briefing in Washington, highlighting progress under Pakistan’s Extended Fund Facility (EFF).

Kozak confirmed that an IMF delegation will travel to Pakistan starting February 25. During the visit, detailed discussions will be held with Pakistani authorities on the third review of the ongoing EFF program and the second review under the Resilience and Sustainability Facility (RSF).

The talks will focus on major economic developments and program implementation.

EFF policies help stabilise economy

According to Kozak, Pakistan’s policies under the EFF have helped stabilize the economy. She said these measures have increased confidence and strengthened fiscal performance.

“Fiscal performance has been strong,” she noted, adding that the progress aligns with the objectives set under the IMF-supported program.

Fiscal surplus, current account milestone

In fiscal year 2025, Pakistan achieved a primary fiscal surplus of about 1.3% of GDP. Kozak described this as being in line with the program’s goals and a sign of improved fiscal discipline.

She also pointed out that Pakistan recorded its first current account surplus in 14 years in 2025, marking a significant turnaround in the country’s external sector.

The IMF official stated that inflation in Pakistan has remained broadly under control. She said this reflects progress toward macroeconomic stabilization and improved economic management under the reform program.

Governance, anti-corruption reforms

Kozak further revealed that a report on governance and corruption was recently published. The report outlines several reform proposals, including simplifying the tax system and increasing transparency in government procurement.

It also recommends providing equal opportunities in procurement processes and improving transparency in asset declarations.

These reforms are aimed at strengthening institutions and promoting accountability.

Progress toward stabilisation

The IMF emphasized that there has been meaningful progress toward economic stabilization in Pakistan.

With stronger fiscal performance, controlled inflation, and improvements in the external account, the upcoming February 25 mission will assess how the reform agenda is being implemented and discuss the way forward.