Pakistan and the International Monetary Fund made "considerable progress" in talks on the latest reviews of the country's bailout programme but 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.

Program 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.

-Mrinmay Dey and Ariba Shahid/Reuters