Ahead of the upcoming International Monetary Fund review mission, Pakistan has prepared a 15-point action plan in response to the Governance and Diagnostic Assessment Report. The plan focuses on strengthening institutions, reducing corruption risks, and improving governance standards across federal departments.
One of the key steps in the plan is to identify the top 10 high-risk federal agencies that face serious corruption vulnerabilities and macro-critical exposure. A National Anti-Corruption Task Force will be formed to carry out this assessment and develop a centralized corruption risk framework. This task force will operate under the National AML/CFT Authority and include institutions such as NAB, FIA, SECP, FBR, Auditor General of Pakistan, and other relevant bodies.
The task force will prepare a detailed corruption risk assessment and then design a risk reduction plan with clear performance indicators and defined responsibilities for each ministry and agency. The framework will also be aligned with Pakistan’s existing National Risk Assessment for money laundering and terrorist financing.
The government’s 240-page action document outlines reforms to improve judicial performance in economic and commercial cases. In the first year, a methodology will be developed and published to assess the performance of courts and judges. In the second year, a formal performance report covering administrative tribunals and special courts dealing with economic disputes will be issued. The plan also includes strengthening Alternative Dispute Resolution mechanisms to reduce case backlogs.
The Anti-Money Laundering Authority will establish a Joint Working Group to review the Anti-Money Laundering Act of 2010. The review aims to remove legal ambiguities, particularly regarding whether a conviction for a predicate offence is required before prosecuting money laundering. The group will also suggest amendments related to definitions, procedures, and investigative powers to strengthen enforcement. Proposed changes will be presented to parliament, with implementation targeted by June 2027.
In addition, the Financial Monitoring Unit will introduce corruption-specific reporting guidelines and red flags to improve the quality of suspicious transaction reports. The government also plans to bring the Pakistan Virtual Asset Regulatory Authority under the reporting framework to enhance oversight of digital assets.
The comprehensive action plan reflects Pakistan’s effort to address governance gaps, strengthen anti-corruption mechanisms, and improve institutional transparency as it prepares for the IMF review.
