Islamabad calls New Delhi's plan to ask IMF to review Pak loans as 'politically motivated'

New Indian Express

03-05-2025

ISLAMABAD: Ahead of IMF's crucial review meeting next week, Pakistan has termed India's announcement that it will request the global lender to review Islamabad's financial support programme as "politically motivated" after the Pahalgam terror attack.
The Express Tribune said Saturday quoting officials that India's attempt to involve the International Monetary Fund (IMF) "is an extension of its political campaign to isolate Pakistan diplomatically."
The IMF Executive Board is scheduled to meet Pakistan officials on May 9 for the first review of the Extended Funding Facility (EFF), and request for an arrangement under the resilience and sustainability facility.
India on Friday said it will be asking global multilateral agencies, including the IMF, to have a relook at funds and loans provided to Pakistan, as New Delhi seeks to corner the neighbouring state diplomatically following the dastardly April 22 terror attack in Pahalgam, which killed 26 tourists.
The Express Tribune said officials argue that India's attempt to involve the IMF is an extension of its political campaign to isolate Pakistan diplomatically.
Authorities have identified five terrorists, including three Pakistani nationals, behind the massacre in Pahalgam. Islamabad has rejected the accusations and called for an impartial international investigation.
Prime Minister Narendra Modi on April 24 vowed to punish the terrorists behind the Pahalgam terror attack and those part of the conspiracy beyond their imagination, asserting that the country's enemies targeted not merely unarmed tourists but dared to attack India's soul.
In a high-level meeting with the top defence brass on April 29, Modi asserted that the armed forces have "complete operational freedom" to decide on the mode, targets and timing of India's response to the terror attack, according to government sources.
Meanwhile, the newspaper quoted an adviser to Pakistan's Finance Ministry as confirming on Friday that the country's USD 7 billion IMF bailout, secured last year, remains "well on track" and critical for macroeconomic stability.
Islamabad also received an additional USD 1.3 billion in climate resilience funding in March 2025.
"This programme is not just stabilising Pakistan; it's building confidence," said finance adviser Khurram Schehzad.
"The latest IMF review went smoothly, and our meetings with global financial institutions in Washington reflected high investor interest."