The International Monetary Fund (IMF) has expressed optimism that Pakistan and India will find a peaceful resolution to their recent tensions. Speaking to journalists in Washington, IMF Director of Communications Julie Kozack voiced hope that the two South Asian neighbours would avoid further conflict and resolve differences through dialogue.
Kozack also addressed Pakistan’s progress under the IMF loan program, praising the country for meeting all economic targets. “Pakistan’s economic performance enabled a smooth disbursement of the loan tranche,” she said, emphasising that the decision to release the funds was made unanimously by the Executive Board and based on merit.
She clarified that the loan is intended to bolster Pakistan’s foreign reserves and is not meant for budgetary support. One of the program’s key conditions is that the Pakistani government cannot borrow from the State Bank.
In light of recent tensions between Pakistan and India, Kozack expressed sorrow over the loss of lives and stressed the importance of a diplomatic solution to prevent further escalation.
