ISLAMABAD: The International Monetary Fund (IMF) mission held discussions with Pakistani authorities on Monday regarding the taxation of agricultural income.

According to Finance Ministry sources, the IMF delegation conducted a special session with representatives from provincial governments, the Ministry of Finance, and the Federal Board of Revenue (FBR) to deliberate on agricultural income tax policies.

Further meetings between the IMF mission and provincial officials are scheduled for Tuesday, March 11.

While policy-level discussions regarding the disbursement of the next $1 billion tranche under the Extended Fund Facility (EFF) were expected to commence on Monday, Finance Ministry sources confirmed that no direct meeting took place between Finance Minister Muhammad Aurangzeb and the IMF team. Instead, other senior officials engaged with the Fund’s representatives.

Pakistan is set to submit a compliance report detailing the implementation of IMF-mandated conditions under the $7 billion loan program, along with an economic performance review for the first half of the fiscal year.

Upon the conclusion of the ongoing deliberations, IMF staff will compile their findings and recommendations for the Executive Board’s assessment, a critical step in securing approval for the release of the $1 billion tranche.