Pakistan has always been in the grip of Economic Crisis. The previous government of Mian Muhammad Nawaz Sharif had a debt of around $175.66 Billion Dollars on its credit. The current debt of this government is around $99.1 Billion Dollars. Imran Khan when assumed the office in August, 2018 inherited a balance of payment crisis. He is trying hard to curb the economic crisis that Pakistan is facing but he has a long way ahead of him.
Reasons of ECONOMIC CRISIS In Pakistan
Pakistan is facing a lot of problems in its core. The internal issues of Pakistan have eaten it’s economy away. 2018 wasn’t a productive year for the economy of Pakistan because of the increased oil prices, low investment and weak macroeconomic policies. The situation has remained grim in our country because it has been exposed to terrorist’s attacks. These attacks never allowed tourism to flourish here. Inflation is another reason of our failing economy and corruption also played its part.
What are the options available to Pakistan for tackling the economic crisis? China and Saudi Arabia has been a great support for Pakistan over the course of years. Pakistan has friendly relations with both of these countries. Recently Saudi Arabia has given Pakistan 3 billion dollars to help it in its payment crisis but it’s not every day every year that a country decides to show moral support for another country in the form of monetary funds.
Pakistan has been the beneficiary of US CSF (CerebroSpinal Fluid) program but now US has cut most of its aide to Pakistan by accusing it of non-cooperation. Now the only option which is available to Pakistan is another IMF bailout. So far Pakistan had 21 IMF bailouts and this will be its 22nd.
Imran Khan the Current Prime Minister of Pakistan is in talks will the IMF chief Christine laggard for another IMF bailout package. How much money does Pakistan intends to take is not yet out in the public but now this is clear that it is seeking this IMF bailout package to stable its economy. The future for Pakistan economy seems bleak for now but we can always hope for the best.