India asks IMF, others to review Pakistan funding
What's the story
India will raise its concerns over Pakistan's funding with all multilateral development banks (MDBs), including the International Monetary Fund (IMF), World Bank, and the Asian Development Bank (ADB), a senior government official said.
"We will flag India's concerns to the IMF, World Bank, ADB, and other multilateral agencies. There needs to be a review of development funding to Pakistan due to links with terror financing."
The backdrop is the terror attack in Pahalgam that killed 26.
Financial measures
India's strategy to combat terror funding
India is ramping up pressure on Pakistan after the recent terror attack, employing a range of tactics to cut down financial support to the country.
The Indian Express reported that the government is also mulling putting Pakistan back on the 'grey list' of the Financial Action Task Force (FATF), an international watchdog on money laundering and terrorism financing.
IMF discussions
Upcoming IMF meeting on Pakistan's funding
India is likely to raise its concerns about Pakistan in the upcoming board meetings of multilateral organizations.
The IMF Executive Board is scheduled to meet on May 9 to discuss the financing facilities extended to Pakistan.
Currently, the IMF is providing a $7 billion aid package approved in September 2024. The next $1 billion installment will depend on a performance review under this program.
Financial support
World Bank's financial commitments to Pakistan
The World Bank has committed up to $50 billion for almost 400 projects in Pakistan, including a $20 billion loan signed earlier this year in January.
Recently, it approved an additional $102 million for climate resilience financing and another $108 million for two projects in Khyber Pakhtunkhwa province.
Since it joined the IMF and the World Bank in 1950, Pakistan has been supported by the former through 25 financial arrangements.