The government has decided to fulfill the final condition set by the International Monetary Fund (IMF) for the release of the next $1.2 billion tranche by publishing the long-awaited Governance and Corruption Diagnosis Report before November 15.
According to senior officials, the move will eliminate the last remaining obstacle to the IMF Executive Board’s approval of the funding package, which includes $1 billion from the IMF and $200 million in climate financing. The tranche is part of Pakistan’s ongoing Extended Fund Facility aimed at stabilizing the country’s economy and supporting climate resilience measures.
Sources within the Ministry of Finance confirmed that all prior conditions required by the IMF have already been met ahead of the Executive Board’s expected meeting in December 2025. The publication of the Governance and Corruption Diagnosis Report is the only pending step before the release of the funds.
The IMF had made it clear during recent review talks that early publication of the report was essential to maintain transparency and accountability commitments under the reform program. Officials said that the technical processes for its release are now in the final stages.
The report, prepared in consultation with the IMF, identifies institutional weaknesses, administrative inefficiencies, and areas prone to corruption within government entities. It also outlines comprehensive recommendations for improving governance, enhancing law enforcement, and strengthening transparency across public institutions.
Finance Ministry officials added that following the report’s release, the government will share an implementation plan with the IMF outlining timelines and strategies for adopting the suggested reforms.
Initially scheduled for publication in July 2025 and later postponed to August, the report’s release in November will pave the way for the IMF Board’s formal approval of the $1.2 billion tranche—vital support for Pakistan’s economic recovery and reform agenda.
