Pakistan Yet to Fulfill Key IMF Benchmarks on Power Sector Reforms
ISLAMABAD: Several critical International Monetary Fund (IMF) conditions linked to the privatization of Pakistan’s power distribution companies (DISCOs) remain incomplete, according to officials from the Ministry of Finance.
A key benchmark still pending is the finalization of a policy action plan for the privatization and transaction process of DISCOs. Sources confirmed that this step is central to Pakistan’s reform program under the IMF.
Out of 22 structural benchmarks agreed upon, five remain unfulfilled, as highlighted in the latest economic review.
Among the pending reforms is the publication of the Corruption and Governance Diagnostic Assessment Report, which has yet to be released. Similarly, amendments to the State-Owned Enterprises (SOEs) Act are still outstanding, posing another challenge to compliance.
The IMF has also called for changes in the Sovereign Wealth Fund law, while Pakistan has not yet completed the redrafting of the Public Finance Management (PFM) Act—both considered critical components of the program.
Finance Ministry insiders acknowledged that completing these reforms is vital for Pakistan’s economic stability and essential to unlocking further IMF financial support.
