In a bid to bridge a $23 billion gap in its external financing, Pakistan plans to seek a rollover of around $12 billion in debt from key allies like China in the upcoming fiscal year 2024-25. This decision comes as Pakistan aims to achieve its budget targets before the anticipated arrival of an IMF team to the country.
The federal government is also expected to receive over $1 billion from the IMF under a fresh loan program, along with new financing from the World Bank and the Asian Development Bank. Negotiations for a new loan program with the IMF are set to begin in mid-May, ahead of the budget presentation in June, with the Finance Ministry instructed to complete targets before these negotiations.