‘Exceptionally high’ economic risks in Pakistan, IMF report says
Al JazeeraLender says a week after approving a $3bn bailout package for Pakistan that ‘significant shocks’ have rocked its economy. Islamabad, Pakistan – The International Monetary Fund says Pakistan’s economic challenges are “complex and multifaceted” and the risks are “exceptionally high”. In a report released on Tuesday, the global lender said Pakistan’s economy had been rocked by “significant shocks” over the past year, which included floods that caused damage of more than $30bn, the war in Ukraine and other “fiscal and external pressures”. A possible successor arrangement could help anchor the policy adjustment needed to restore Pakistan’s medium-term viability and capacity to repay,” the report said. Farooq said the IMF report refers to “policy missteps” by the government and it is necessary for the country’s financial managers to show “fiscally responsible behaviour”.