The IMF has added 11 new conditions to Pakistan’s seven-billion-dollar bailout, raising the total required reforms to 64 in 18 months.
Key mandates include publishing civil servants’ asset declarations, anti-corruption action plans, sugar sector liberalisation and a review of remittance costs.
The IMF has stressed that steady progress on these reforms is essential for Pakistan to continue receiving future bailout disbursements.
Asset Declaration, Anti-Corruption Plans - New Conditions By IMF To Pak’s $7 Billion Loan
The IMF has emphasised that consistent progress on these reforms is crucial for Pakistan to secure future disbursements under the bailout arrangement.
Summary
The International Monetary Fund has imposed a new set of conditions on Pakistan under the ongoing seven-billion-dollar bailout programme, tightening its focus on corruption, governance reforms and structural fixes in key sectors of the economy.
The updated requirements were outlined in a staff-level report following the Fund’s second review of Pakistan’s economic reform commitments. With 11 new conditions added, the total number of IMF-mandated reforms rises to 64 over the last year and a half. The developments follow the approval of a 1.2-billion-dollar disbursement meant to support Pakistan’s macroeconomic stability and climate resilience efforts.
One of the major conditions is the publication of asset declarations of senior federal civil servants by December 2026, to be followed by provincial officials. These records will also be made available to banks to detect inconsistencies between declared assets and actual holdings.
The IMF has also directed Pakistan to prepare detailed anti-corruption action plans for 10 high-risk government departments by October 2026. The National Accountability Bureau will oversee coordination, while provincial anti-corruption bodies are expected to receive new powers to access financial intelligence.
Another key requirement is a comprehensive review of remittance costs and cross-border payment challenges by May 2026. The IMF has warned that inefficiencies could push remittance costs to 1.5 billion dollars in the coming years if left unaddressed.
The sugar sector, long dominated by politically influential groups, has also come under scrutiny. Pakistan must adopt a nationwide sugar market liberalisation policy by June 2026, covering licensing, pricing rules and export-import mechanisms.
Additional conditions include modernising tax administration, reforming the revenue authority, reducing power sector losses and addressing financial market bottlenecks through a local-currency bond market development plan.
The IMF has emphasised that consistent progress on these reforms is crucial for Pakistan to secure future disbursements under the bailout arrangement.
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