The International Monetary Fund has asked Pakistan to impose six strict conditions to fully operationalize its sovereign wealth fund and to amend the relevant law in line with parliamentary approval, aiming to ensure financial discipline.
According to details, under these conditions, the sovereign wealth fund will not be allowed to borrow or take loans, provide guarantees or collateral, lend to public or private entities, participate in public-private partnership projects, acquire financial assets or instruments, or seek financial support from the central bank or government institutions.
Similarly, the fund will also be restricted from acquiring financial assets or receiving any form of investment or support from financial institutions or state-owned entities, in order to maintain transparency and limit its financial activities.
Reports suggest that these proposed amendments will be incorporated into law as a structural benchmark after the approval of the 2026-27 budget, defining the operational framework of the fund.
The government has also submitted six amendments related to state-owned enterprises laws to Parliament for approval, aiming to align them fully with the provisions of the State-Owned Enterprises Act.
