IMF team due later this month: Aurangzeb

ISLAMABAD: An International Monetary Fund (IMF) mission is set to arrive in Pakistan later this month for the third review under the ongoing Fund programme, as the government insists there is no external financing gap and ongoing rollover talks with the UAE remain on track.

Finance Minister Muhammad Aurangzeb told the media persons after the Senate Standing Committee on Finance and Revenue meeting, which held here on Wednesday.

The finance minister said that there is no shortfall in external financing. He also confirmed that discussions with the UAE on rollovers were underway. However, when Committee members asked whether the UAE had rolled over its loan for only one month. The finance secretary responded that this was not the case and said the question was not appropriate.

Replying to a question Aurangzeb said Panda bonds will be issued in the first quarter of the current year and that discussions regarding the issuance are ongoing.

Replying a question on the National Finance Commission (NFC) Award, Aurangzeb said that the talks are ongoing over the NFC. “A meeting can be summoned after three to four technical committee’s sessions are being held,” he said.

Earlier the finance minister informed the Senate Standing committee which met with Saleem Mandviwalla in the chair that sustainable tax-to-GDP growth was essential as without it the country could not be moved forward.

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The committee was also briefed on the Ministry of Finance’s current budgetary utilisation, with officials stating that Rs1.5 billion had been spent so far in fiscal year 2025-26 against Rs4.8 billion allocated, which is around 31 percent. For six projects an allocation of Rs 851.580 million was made for the current fiscal year and Rs 551.905 million was disbursed so far. The committee sought a detailed progress report, particularly on projects related to women’s financial inclusion, after being told that over Rs20 billion had been disbursed to women through microfinance institutions.

Governor State Bank of Pakistan Jameel Ahmad informed the committee that there was no proposal to discontinue the Rs5,000 currency note. Chairman FBR jumped in while saying that such move would have a major market impact. Mandviwalla said three notes of Rs5,000 had been handed to the SBP deputy governor during a committee meeting, but no action was taken and the notes were not returned. He added that the Rs75 note is not used in the market.

SBP Governor said the Board had recommended the designs for new currency notes with enhanced security features and a new colour scheme, which had been sent to the federal cabinet for approval. The cabinet has further constituted a sub-committee. After finalization the recommendations, federal cabinet would approve the final design. The committee recommended for an in-camera briefing on the new currency designs.

Copyright Business Recorder, 2026