Media Type
Article
Publication Date
10-11-2025
Description
Pakistan’s relationship with the IMF during the 2000 – 2004 period was quite unique and distinctive. Unlike the earlier eight agreements that were concluded with the IMF during 1988-99 and were never implemented beyond the first tranche release it was only in this period that two successive agreements – a nine month Stand-by Arrangement (SBA) in the year 2000 followed by a three year Poverty Reduction and Growth Facility (PRGF) were successfully completed. All the sixteen reviews by IMF staff were completed and eleven successive tranches were drawn on time without any extension or interruption. The last two tranches were not drawn down although the conditionalities were met because the country had acquired financial strength and did not require the IMF money. The IMF in its own report ‘Pakistan – Ex Post assessment of Longer-Term Program Engagement’ pointed out that “conditionality in Pakistan’s Fund-supported programs become increasingly extensive after 1999. Structural conditionality peaked in the 2000 SBA. To overcome shortcomings in performance in the previous incomplete programs quantitative conditionality was augmented in the 2000 SBA and 2001 PRGF. Despite such tough conditionalities Pakistan delivered on its commitment and established a track record of performance. The total of 56 Performance Criteria, benchmarks and prior actions in this arrangement was nearly three times the Fund-wide arrangement of 19 conditions.”
Recommended Citation
Husain, I. (2025). Pakistan’s Experience with the IMF, 2000–2004. Retrieved from https://ir.iba.edu.pk/faculty-research-talks-speeches/55
Notes
No publication date available