Overview

• Prime Minister Shehbaz Sharif asked IMF Managing Director Kristalina Georgieva to reflect the economic damage from the 2025 floods in the upcoming programme review.
• Georgieva expressed sympathy for victims and said a rigorous damage assessment is essential to shape recovery priorities.
• The IMF mission, scheduled for Sept. 25–Oct. 8, will conduct the second EFF review and assess whether the FY26 budget provides flexible funding for flood-related needs, according to the Fund’s resident representative.
• The government has sought IMF consent for electricity-bill relief in flood-hit areas and is considering temporary leeway on primary and provincial surplus targets, with requests still under review.
• World Bank President Ajay Banga met Sharif as the Bank pledged $40 billion under a 2026–2035 partnership aligned with reforms, alongside a report noting national poverty at 25.3% in FY2023–24.