Pakistan’s Top Economic Body Under Fire As IMF Questions Transparency, Military Influence

Last Updated:November 30, 2025, 09:32 IST

IMF concerns over Pakistan’s Special Investment Facilitation Council have intensified, as questions about transparency, accountability and failing investment flows deepen.

Since 2022, more than 21 major corporations across sectors—tech, pharma, and energy—have left Pakistan.

Pakistan’s efforts to revive its struggling economy have suffered a significant blow after the Monetary Fund (IMF) raised concerns over the role, structure and transparency of the Special Investment Facilitation Council (SIFC). A source familiar with IMF deliberations told CNN News18 that Pakistan Field Marshal Asim Munir-led SIFC, established to attract foreign investment and stabilise policy, has failed to deliver on its promises.

IMF flags transparency gaps

The IMF has reportedly questioned how decisions are taken within the SIFC and who exercises authority over key economic matters. An insider described the council’s operations as “not transparent", adding that its mechanisms lack clarity and accountability.

IMF has also urged Pakistan to publicly declare the SIFC’s annual performance, complete with verifiable details of the investments it claims to have facilitated. IMF officials are said to be concerned that the SIFC, which functions without constitutional protection, is not in a position to take responsibility for the economic impact of its decisions.

Pak investment hopes fizzle out

Despite being established to fast-track foreign investment, the SIFC has struggled to bring in meaningful capital. According to the top source, the council has failed to secure any major foreign business deals or attract significant FDI for three consecutive years.

Foreign investors remain wary of Pakistan’s political instability, heavy taxation and inconsistent regulations. As a result, several multinational companies, including Procter & Gamble, Pfizer, Shell, Telenor, Uber, Careem, Sanofi-Aventis and Eli Lilly, have exited the market, compounding the country’s economic woes.

The source added that foreign investors “are not trusting Pakistan," and the SIFC has been unable to persuade them otherwise.

Military influence raises concerns

Another major concern flagged by observers is the growing military involvement in the country’s economic decision-making. The SIFC, co-chaired by Field Marshal Asim Munir, functions as an executive body where military leaders exert considerable influence over large-scale business decisions.

An IMF-linked source warned that this dynamic could “lead to disaster" in the future, as no institution will ultimately accept responsibility for the consequences of high-risk policies shaped under pressure.

Pakistan’s economic challenges

Since the ouster of former Prime Minister Imran Khan, Pakistan’s economy has struggled to regain stability. Persistent inflation, currency volatility, declining reserves and wavering investor confidence have strained recovery efforts.

The SIFC’s national coordinator, Lt General Sarfraz Ahmed, has himself acknowledged several structural hurdles. He admitted that heavy corporate taxes and additional levies such as the super tax continue to choke economic growth. He also stressed the need for Pakistan to reform its economic model, strengthen investment mechanisms, and manage its currency more effectively.

What is SIFC?

Created as a high-level “single-window" body, the SIFC was meant to streamline decision-making and remove bureaucratic bottlenecks. By combining civilian and military leadership, it aimed to create predictability for investors. However, three years on, its performance is under scrutiny both domestically and internationally.

With the IMF demanding greater transparency and results, Pakistan faces mounting pressure to reform or overhaul the council.

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