Pakistan and the International Monetary Fund (IMF) are set to begin crucial talks later this month for the release of the next $1 billion tranche under the ongoing Extended Fund Facility (EFF).

According to finance ministry sources, the second economic review discussions will commence in the last week of September, with an IMF delegation scheduled to arrive in Pakistan on September 25.

Officials said preparatory work for the review is underway, with economic indicators being finalised and soon to be shared with the Fund.

If the review concludes successfully, the IMF Executive Board will approve the disbursement of the $1 billion tranche.

The IMF mission’s visit comes under the 37-month, $7 billion EFF programme, agreed in September 2024.

Pakistan has already received more than $2 billion in two instalments under this facility.

In addition to the EFF programme, Pakistan has also secured a climate financing deal with the IMF, under which the country will receive $1.3 billion over 28 months to support climate resilience projects.