The International Monetary Fund has urged Pakistan to ensure any proposed electricity price adjustments do not unfairly impact low- and middle-income citizens. Officials confirmed ongoing discussions with Pakistani authorities to assess the economic and inflationary impact of planned reforms.

In a statement, the IMF said talks will determine whether electricity price changes align with Pakistan’s obligations under its $7 billion Extended Fund Facility EFF agreement. While structural reforms remain a key priority, the lender emphasized that vulnerable households must be protected and excessive inflation avoided.

The government recently announced major changes in electricity tariffs as part of broader economic reforms tied to the EFF program. Analysts suggest the plan could help industries by reducing cross-subsidies and improving cost recovery in the power sector. However, experts warn that without targeted relief measures for lower-income consumers, price hikes could intensify inflationary pressures.

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Pakistan is preparing for its next IMF program review, with electricity pricing emerging as a central topic. Economists highlight the delicate balance between fiscal discipline and public relief, noting that policy decisions in the power sector will have wide-reaching effects on the economy and household budgets.

Authorities indicated that efforts will be made to combine necessary reforms with measures that protect the most vulnerable, ensuring economic stabilization while avoiding undue hardship for ordinary citizens.