This paper discusses Pakistan’s First review Under the Extended Arrangement Under the Extended Fund Facility and Request for Waiver of Nonobservance of a Performance Criterion (PCs) and Modification of Performance Criteria. All quantitative PCs for end-September 2013 were observed except for the one on net international reserves. The indicative target on social transfer payments was also missed, but the technical problems that caused the shortfall have since been rectified. The IMF Staff supports authorities’ request for completion of the first review under the arrangement and for a waiver for the nonobservance of the performance criterion on net international reserves accumulation.