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flag Pakistan outperformed IMF forecasts in 2024–25 with strong growth and surplus, but reform delays and debt pressures persist.

flag The IMF is reviewing Pakistan’s progress under its $7 billion Extended Fund Facility, with results due in September 2025. flag Despite economic challenges including severe flooding that may have caused $40 billion in damages, the country outperformed some IMF projections in 2024–25, with GDP growth at 2.5%, inflation at 4.5%, and a current account surplus. flag Gross reserves and budget balance also exceeded forecasts, though structural reforms lagged, particularly in governance. flag The government’s relief measures, including electricity bill waivers, require IMF approval to avoid disrupting funding. flag High unemployment and fiscal pressures remain concerns as Pakistan seeks to balance recovery, debt stability, and climate resilience amid ongoing economic strain.

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