Pakistan is in a strong position for the first review of its $7 billion International Monetary Fund (IMF) bailout, according to Finance Minister Muhammad Aurangzeb. The review process officially began on Tuesday as discussions with the global lender commenced.

The country secured the Extended Fund Facility (EFF) last year to navigate through an economic crisis. The program has since been instrumental in stabilizing the economy, with the government expressing optimism about long-term recovery.

Speaking to Reuters, Aurangzeb confirmed that the IMF delegation is in Pakistan for two rounds of discussions—first focusing on technical aspects, followed by policy-level talks. He expressed confidence in the country’s preparedness for the review.

The Ministry of Finance also shared images from the opening meeting between Pakistani officials and the IMF delegation, led by Pakistan mission chief Nathan Porter. Official sources revealed that the finance ministry’s economic team, led by Secretary Finance, has initiated discussions with the nine-member IMF mission.

The review will assess Pakistan’s economic performance from July to December 2024. A successful evaluation will unlock the next $1 billion tranche of the bailout package. The budget for the fiscal year 2025-26, currently under formulation, is also expected to be discussed.

During their stay, the IMF team will meet key government institutions, including the Ministry of Finance, Ministry of Energy, Planning Commission, State Bank of Pakistan (SBP), Federal Board of Revenue (FBR), Oil and Gas Regulatory Authority (OGRA), and National Electric Power Regulatory Authority (NEPRA). Additionally, discussions will be held with representatives from Punjab, Sindh, Khyber Pakhtunkhwa, and Balochistan.