The International Monetary Fund (IMF) has confirmed that its Executive Board meeting to review Pakistan’s bailout programme will proceed as scheduled on May 9, 2025, despite escalating military tensions between Pakistan and India.

An IMF spokesperson reiterated that the Board will conduct the first review of Pakistan’s Extended Fund Facility (EFF) and Resilience and Sustainability Facility (RSF) as planned. The IMF emphasized its support for Pakistan’s economic programme, designed to build foreign reserves, restore macroeconomic credibility, strengthen economic buffers, and promote inclusive growth.

The announcement comes amid the most intense fighting between the two nuclear-armed neighbors in over two decades, with cross-border shelling and missile strikes reported in Kashmir and inside Pakistan. According to Pakistan’s Inter-Services Public Relations (ISPR), at least 31 Pakistanis were killed and dozens injured in recent Indian missile attacks. In retaliation, Pakistan’s military shot down five Indian Air Force jets, including three Rafale fighters.

The IMF expressed hope for a peaceful resolution and de-escalation between the two countries, underscoring the importance of stability for economic progress.

Last month, IMF staff reached an agreement with Pakistan on a new $1.3 billion climate resilience loan arrangement and completed the first review of the ongoing 37-month bailout programme. Pending Executive Board approval, Pakistan is set to unlock this new funding, along with an additional $1 billion under the existing $7 billion bailout, bringing total disbursements to $2 billion.

The IMF programme remains vital for Pakistan’s $350 billion economy, which officials say has stabilized under the bailout, helping the country avoid a potential default.