Pakistan Requests Additional $2 Billion from IMF for Climate Change Initiatives
ISLAMABAD, October 21, 2024: The government of Pakistan is seeking an extra $2 billion from the International Monetary Fund (IMF) to address the challenges posed by climate change.
Finance Minister Muhammad Aurangzeb is expected to make this formal request during the IMF’s annual meetings later this month.
This move comes on the heels of an earlier request for $1.5 billion in climate financing, which has yet to receive approval. In preparation, Pakistan has implemented various fiscal measures, including the passage of its FY24 budget, which aims for a primary surplus of 0.4% of GDP.
The government has also committed to a market-determined exchange rate and strategies to reduce inflation.
The funds are intended to support Pakistan’s Climate Resilience and Sustainability Facility.
The ongoing meetings, attended by officials from the Finance Ministry and the State Bank, are set to conclude by October 26.
In September, Pakistan secured approval for a $7 billion Extended Fund Facility (EFF) aimed at bolstering economic stability and growth.
