Pakistan's IMF Deal Hangs by a Thread Amid Political Turmoil
Source: tandfonline.com
- Pakistan faces a potential $1.1 billion IMF loan suspension after failing key fiscal targets in its bailout program.
- Political instability from Imran Khan's protests and government crackdowns worsens the economic crisis, pushing inflation to 38%.
- Without reforms, Pakistan risks default, but success could stabilize its fragile economy long-term.
Pakistan is struggling to meet conditions for a $7 billion IMF bailout agreed in 2024, with the latest tranche at risk due to missed revenue and energy sector targets. The Shehbaz Sharif government blames political unrest led by jailed former PM Imran Khan, while critics point to poor policy execution. The article analyzes how this standoff threatens economic recovery and highlights the need for urgent political compromise. Readers should care because it shows how politics can derail internation