IMF Representative Hails Pakistan’s Economic Stability, Stresses Need for Structural Reforms

Islamabad:The International Monetary Fund’s (IMF) representative in Pakistan, Maher Biny, has described the country’s pace of economic stabilization as encouraging and praised its performance under the Extended Fund Facility (EFF) program.

Speaking at a session organized by the Sustainable Development Policy Institute (SDPI), Biny highlighted the evolving economic landscape of Pakistan and the broader Middle East and North Africa (MENA) region. He projected that economic growth in these areas is expected to become more stable by 2025 and beyond.

He also warned, however, that rising trade tensions, geopolitical fragmentation, and weak global cooperation are fueling uncertainty, underscoring the urgent need for forward-looking and prudent policy measures.

“The momentum of economic stability in Pakistan is promising, and the country’s performance under the EFF program has remained strong so far,” Biny noted. “While external challenges persist, early policy actions have contributed to restoring macroeconomic stability and investor confidence.”

The IMF official emphasized the necessity of structural reforms, especially in making the tax system more equitable, improving the business environment, and promoting private-sector-led investment — all of which are critical for long-term economic sustainability.

Addressing environmental concerns, Biny said that support for climate-related reforms will not only strengthen Pakistan’s resilience to environmental risks but also pave the way for green investment and sustainable economic transformation. He also praised Pakistan’s progress in environmental reforms, calling it commendable.

He further noted that the successful completion of the first EFF program review by the IMF Executive Board in May marked a significant milestone for Pakistan, reflecting the government’s commitment to economic and environmental reforms.