May 9 is a crucial date for Pakistan as bankrupt Islamabad is going to face…

As the IMF reviews Pakistan’s funding, India has urged the global agency to check on the potential misuse of these funds.

As Pakistan seeks another $1.3 billion from the IMF, India warns the funds may be propping up terror, not just the economy. The IMF Executive Board is scheduled to meet Pakistan officials on May 9 for the first review of the Extended Funding Facility (EFF), and request for an arrangement under the resilience and sustainability facility.

India on Friday said it will be asking global multilateral agencies, including the IMF, to have a relook at funds and loans provided to Pakistan, as New Delhi seeks to corner the neighbouring state diplomatically following the dastardly April 22 terror attack in Pahalgam which killed 26 tourists.

According to media reports, India has raised concerns with the International Monetary Fund (IMF) regarding its loans to Pakistan, stating that these funds helps the country to redirect domestic resources towards its military-intelligence network, including the ISI and terror groups like Lashkar-e-Taiba (LeT) and Jaish-e-Mohammed (JeM). 

Why Is IMF Reviewing Pakistan’s Funding?

Amid its ongoing fiscal crisis, Pakistan is reliant on IMF loans under its economic stabilisation programme. The IMF’s upcoming review, scheduled for May 9, will assess whether Pakistan has met the reform benchmarks required to secure the next tranche of funding.

Last year, Pakistan received a $7 billion bailout package from the IMF, then again got an additional $1.3 billion loan in March to address climate resilience challenges. These funds are huge for a country like Pakistan which is very small $350 billion economy

Rising India-Pakistan Tensions

Tensions between India and Pakistan grew after the April 22 Pahalgam Terror Attack, where 26 people lost their lives. After which India took several diplomatic measures against Islamabad.

On May 7, India launched Operation Sindoor, targeting nine sites linked to terrorism across the border. This action by India has further strained the relations between the two nations.