Pakistan and the International Monetary Fund made “considerable progress” in talks on the third review of the country’s Extended Fund Facility (EFF) programme.

However, the two sides have ‌yet to reach a staff-level agreement, with discussions continuing as officials assess the impact of the Middle East conflict ​on the economy, the Fund said on Wednesday.

“While ​considerable progress was made in the discussions, these ⁠will continue in the coming days,” IMF mission ​chief Iva Petrova said in an end-of-mission statement.

The ​IMF team and Pakistani authorities will continue discussions in the coming days with a view to concluding the reviews, Petrova said.

Talks ​assessed risks from the Middle East conflict and ​rising energy prices to Pakistan’s economy, balance of payments and ‌external ⁠financing needs, as the country imports most of its fuel.

Programme implementation under the $7 billion Extended Fund Facility (EFF) has remained broadly aligned with authorities’ commitments through end-February ​2026, the IMF ​said.

Pakistan has ⁠also made “good progress” implementing climate resilience reforms under the RSF, aimed at strengthening ​resilience to climate shocks.

Talks focused on ​fiscal consolidation, ⁠tight monetary policy and energy sector reforms.

Discussions covered the third review of Pakistan’s 37-month EFF and the ⁠second ​review of the 28-month Resilience and ​Sustainability Facility.

The IMF team arrived in Pakistan on February 26 and began discussions on March 2.