Pakistan to chair IMF, World Bank boards as it awaits fresh loan approval

In an ironic twist, Pakistan, which is awaiting approval for a $1.2 billion loan from the International Monetary Fund (IMF), is reportedly set to chair the boards of governors of both the IMF and the World Bank Group (WBG) in 2027.

Pakistan to head the Boards of Governors of the IMF and the World Bank Group in 2027. (File Photo/ REUTERS)
Pakistan to head the Boards of Governors of the IMF and the World Bank Group in 2027. (File Photo/ REUTERS)

It will be the first time since 1953 that Islamabad will be heading the position, the country’s ministry of economic affairs said on Friday, reported Dawn.

During the plenary session of the 2026 WBG-IMF annual meetings in Bangkok, Pakistan’s governor to the World Bank, minister for economic affairs Ahad Khan Cheema, was formally announced as the incoming chair.

ALSO READ: Pakistan’s Khyber Pakhtunkhwa, ruled by ex-PM Imran Khan’s Party, placed under emergency

According to the ministry, the role would allow Pakistan to play a more active role in global economic and development discussions, while fostering cooperation and dialogue between member nations. It also described the appointment as “historic milestone” for Islamabad.

Debt-ridden Pakistan awaits IMF bailout

The IMF staff and Pakistani authorities have reached an agreement on the latest reviews of its ongoing lending programmes, paving the way for a potential disbursement of approximately $1.2 billion. This is however, subject to approval by the Executive Board.

The two payments include, a $7 billion Extended Fund Facility (EFF), intended to ease balance-of-payments needs and advance economic regforms and a $1.4 billion Resilience and Sustainability Facility (RSF), which supports efforts to mitigate climate-related threats.

ALSO READ: Why emergency in Pakistan’s KPK will open another military front for Asim Munir, Shehbaz Sharif

IMF’s praise for India

The Indian economy is expected to grow at 7 per cent in 2026-27 and 2027-28, retaining its status as the world’s fastest-growing economy, the IMF said on Tuesday. The latest IMF projections also suggest that India’s high growth run might outlast the waning of policy-induced cyclical tailwinds from income tax cuts and Goods and Services Tax rationalisation.

This feat comes at a time when most countries in India’s cohort – energy importers and those outside the ongoing technology boom , are struggling with economic growth and facing macroeconomic disruptions. IMF’s latest observations should put to rest the controversy about the June quarter GDP numbers lacking statistical integrity.

“In a world filled with uncertainty, India offers the assurance of reliability and stability,” Prime Minister Narendra Modi said at the Bloomberg New Economy Forum in New Delhi. “In the April-June quarter of this year, India’s growth rate stood at 7.8 per cent. And this growth rests on a strong foundation,” he added.

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