Pakistan, Aug. 12 -- The International Monetary Fund (IMF) has highlighted serious shortcomings in Pakistan's ability to detect corruption and identify politically exposed persons (PEPs). In its draft Governance and Corruption Diagnostic Assessment report, the IMF noted uneven identification of PEPs across sectors, limited access to comprehensive data, and a lack of automated screening tools in smaller institutions. It also found insufficient corruption-specific red-flag indicators, which are crucial for spotting the misuse of public office. The report has been shared with the government for review before its expected release by the end of August.

Under the $7 billion bailout agreement, the IMF's special mission visited Pakistan this yea...