In a diplomatic and financial win for Pakistan, the International Monetary Fund (IMF) has dismissed India’s demand to reassess loans granted to Islamabad, clearing the path for a $2.3 billion financial package expected to be approved on May 9.

According to IMF officials, the Executive Board meeting will take place as originally scheduled, without any disruption from external pressure. The meeting will review Pakistan’s request under the finalized Staff-Level Agreement reached on March 25, 2025.

Responding to recent reports, IMF representative Maher Bensassi confirmed in an informal briefing that, "The meeting on May 9 will proceed as planned, and we will consider Pakistan's request. We do not comment on concerns raised by other countries."

The move comes after India, amid ongoing geopolitical tensions, reportedly urged the IMF to re-evaluate Pakistan’s loan program. However, IMF’s firm stance in continuing its agenda has reinforced confidence in Pakistan’s economic roadmap.

Finance Ministry officials in Pakistan are optimistic, stating that the board is likely to approve the release of the full $2.3 billion package. This includes $1.3 billion under the Resilience and Sustainability Facility (RSF), which focuses on climate financing. These funds are expected to be disbursed in tranches over 28 months, helping Pakistan tackle its growing climate challenges.

Advisor to the Finance Minister, Khurram Shehzad, also reaffirmed the country’s strong standing with the IMF, saying, “The program is progressing smoothly in the right direction. The recent review was successfully completed.”

The expected disbursement offers much-needed fiscal relief for Pakistan, especially at a time when the country is navigating multiple economic and environmental challenges. Moreover, the IMF’s decision to ignore India's objections signals continued institutional trust in Pakistan’s economic reforms and commitments.