IMF acknowledges Pakistan's significant progress in key areas.

ISLAMABAD: The International Monetary Fund (IMF) Friday said Pakistan's current account is adjusting more rapidly than anticipated besides other key areas which are also showing significant progress.

"Pakistan's economic program is off to a promising start, but decisive implementation is critical to pave the way for stronger and sustainable growth," a statement issued at the end of visit of the IMF mission led by Ernesto Ramirez Rigo said.

The mission visited Islamabad and Karachi from September 16 to 20 to take stock of economic developments since the start of the extended fund facility (EFF) and discussed progress in the implementation of economic policies. A full mission for the first review under the EFF is planned for late-October, the statement added.

"While the economic reform program is still in its early stages, there has been progress in some key areas. The transition to a market-determined exchange rate has started to deliver positive results on the external balance, exchange rate volatility has diminished, monetary policy is helping to control inflation, and the SBP has improved its foreign exchange buffers," Ernesto Ramirez Rigo said.

"There has been a significant improvement in tax revenue collections, with taxes showing double-digit growth net of exporter refunds. Moreover, the FBR is undertaking significant steps to improve tax administration and its interface with taxpayers," he said, adding that the social spending measures in the program have also been implemented.

"The near-term macroeconomic outlook is broadly unchanged from the time of the program approval, with growth projected at 2.4 percent in FY2019/20, inflation expected to decline in the coming months, and the current account adjusting more rapidly than anticipated," he said. "However, domestic and international risks remain, and structural economic challenges persist. In this context, the authorities need to press ahead with their reform agenda," he said. "In order to...