Will Pakistan use money from the International Monetary Fund (IMF) to join US President Donald Trump’s Board of Peace?
Over two dozen nations, including Pakistan, have agreed to join Trump’s board, which some view as a challenge to the United Nations and its Security Council.
The original idea for the Board of Peace, which Trump launched at the World Economic Forum in Davos, was to oversee the reconstruction of Gaza in the aftermath of the war with Israel.
But will Pakistan use IMF money that has been approved to join Trump’s board?
Let’s take a closer look.
What is the Board of Peace?First, let’s take a brief look at the Board of Peace.
Trump will serve as chairman of the board with full authority over membership and direction. Other figures on the board will include former UK prime minister Tony Blair, US Secretary of State Marco Rubio, Trump adviser Jared Kushner and Trump’s special envoy Steve Witkoff.
A mandate for a Board of Peace was authorised by the United Nations Security Council in November, but only through 2027 and solely focused on the Gaza conflict.
The Board of Peace’s charter defines it as “an international organisation that seeks to promote stability, restore dependable and lawful governance, and secure enduring peace in areas affected or threatened by conflict.”
The charter draft added that “durable peace requires pragmatic judgement, common-sense solutions, and the courage to depart from approaches and institutions that have too often failed”. There was a “need for a more nimble and effective international peace-building body”, it added.
Over two dozen countries have already committed to joining the Board of Peace, including Hungary, Bulgaria, Israel, Saudi Arabia, the United Arab Emirates, Egypt, Turkey, Belarus, Bahrain, Jordan, Qatar, Armenia, Azerbaijan, Morocco, Pakistan, Indonesia, Kosovo, Uzbekistan, Kazakhstan, Paraguay and Vietnam.
US President Donald Trump launched the Board of Peace at the World Economic Forum.
Interestingly, apart from the United States, no permanent member of the United Nations Security Council — which includes China, France, Russia and the United Kingdom — has agreed to join. Canada is also a G7 member but is not a permanent UNSC member. Japan and the European Union have not committed to joining the bloc either.
While Trump has sent invitations to both China and Russia — with Vladimir Putin saying he is interested in doing so — Canada, France and the United Kingdom have all declined. Trump has responded by withdrawing Canada’s invitation to join the Board of Peace and threatening to levy a 200 per cent tariff on France’s wines.
Pay to play
Trump is asking nations that want to remain on the board permanently to fork over $1 billion (Rs 0.92 lakh crore) in cash for the privilege. Trump has claimed that the funds will be earmarked for rebuilding Gaza.
“Each Member State shall serve a term of no more than three years from this Charter’s entry into force, subject to renewal by the Chairman. The three-year membership term shall not apply to Member States that contribute more than USD $1,000,000,000 in cash funds to the Board of Peace within the first year of the Charter’s entry into force,” the draft reportedly says.
Pakistan has confirmed that it will join the Board of Peace, making it one of eight Islamic nations to do so.
Prime Minister Shehbaz Sharif has said the Federal Cabinet has given the go-ahead to do so. Sharif, speaking outside the Pakistan High Commission in London, noted that he attended discussions at the World Economic Forum in Davos at the invitation of Trump, who had asked him to join the board.
Sharif added that he hoped the board would result in lasting peace in Gaza and would protect the rights and dignity of the Palestinian people. He said Pakistan supports the effort with the expectation that Gaza will be rebuilt and Palestinians will receive their legitimate rights with dignity and respect.
“We have hope that there will be peace in Gaza, that Palestinians will receive the respect they deserve and that Gaza will be reconstructed,” Sharif was quoted as saying.
The development comes as Pakistan’s economy continues to struggle, and the country relies on foreign debt to meet its external commitments and pay for food and fuel.
IMF approves $1.2 billion loan for Pakistan
The development comes as the IMF recently approved $1.2 billion (Rs 0.11 lakh crore) for Pakistan — around $1 billion (Rs 0.09 lakh crore) under its Extended Fund Facility and $200 million (Rs 0.018 lakh crore) under its Resilience and Sustainability Facility — to help the country stabilise its economy and manage its debt.
The IMF has allotted $3.3 billion (Rs 0.30 lakh crore) for Pakistan under these two programmes alone. Pakistan currently owes the IMF over $7.35 billion (Rs 0.68 lakh crore).
Since 1958, the body has bailed out Pakistan nearly two dozen times, to the tune of tens of billions of dollars. The IMF also helped Pakistan avoid default in 2023. Pakistan secured a $7 billion (Rs 0.64 lakh crore) bailout programme from the IMF last year amid an economic crisis. It was also granted a new $1.3 billion (Rs 0.12 lakh crore) climate resilience loan in March. This $1 billion (Rs 0.09 lakh crore) was the first tranche of the overall bailout package.
Since 1958, the body has bailed out Pakistan nearly two dozen times, to the tune of tens of billions of dollars.
Sharif also mentioned his meeting with the Managing Director of the International Monetary Fund, Kristalina Georgieva, calling the interaction “positive”, though he did not share details of what was discussed. Sharif said that Islamabad will continue to engage constructively with the IMF and other international financial institutions to help stabilise Pakistan’s economy.
The country’s external debt stands at $134 billion (Rs 12.33 lakh crore) as of September 2025. Meanwhile, its total public debt was at $286.832 billion (Rs 26.39 lakh crore) in June 2025, a 13 per cent increase over 2024 — with a debt-to-GDP ratio of almost 70 per cent.
Pakistan also recently approached the UAE to seek a rollover of a $2.5 billion (Rs 0.23 lakh crore) loan and to reduce interest rates on the sum. While Pakistan has not confirmed it will pay the $1 billion (Rs 0.92 lakh crore) fee for a permanent seat, the optics of doing so at a time of high debt and being under the IMF programme could set off a firestorm in public opinion.
With inputs from agencies
End of Article