Shehbaz Sharif’s government in Pakistan is in a challenging situation since the country is hesitant to adhere to the IMF’s demands, which might lead to a default on its sovereign debt if the funding program ends at the end of June.
Inflation rate in Pakistan
The pressure on the government is increased by Pakistan’s inflation rate, which is at its highest level since records have been kept in 1957. Pakistan really has the highest inflation rate in Asia, surpassing Sri Lanka, with a rate of 38% in May 2023.
However, Pakistan’s inflation rate fell to 25.2% once it overtook Sri Lanka in April 2023.
India’s inflation rate is at 4.7%, the lowest it has been since October 2021, despite Pakistan’s attempts to contrast itself with India and its historical reliance on support from the US and now China. Additionally, India only has a 3.8% food inflation rate. Comparatively, the inflation rate for food in Pakistan increased from 48.1% in April to 48.7% in May.
The continuing political crisis in Pakistan, which has impeded negotiations between the Pakistani government and the IMF, has been addressed in accordance with the country’s Constitution and the rule of law, the IMF mission leader, Nathan Porter, expressed hope.
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Pakistan’s defense minister, Khawaja Asif, harshly denounced Porter’s remarks because he believed they interfered with Pakistan’s internal affairs. Minister Asif found Porter’s comments about Pakistan’s domestic politics upsetting and chose to focus on providing Pakistan with the urgent $1.1 billion loan.
Due to the disturbance and violence that Imran Khan Niazi’s (the PTI party’s leader) supporters fueled on May 9, Pakistan is today split.
Imran Khan Niazi’s unrelenting attacks on the Pakistani Army structure have increased public skepticism about the ability of the Rawalpindi GHQ (General Headquarters) to adequately address the systemic issues inside the organization.
The residence of the influential Lahore Corps Commander was set on fire by PTI party supporters on May 9, further weakening public trust and exposing internal divisions within the Army. Pakistan’s vulnerability is exacerbated by the Army, political leadership, and judiciary not working together effectively.
Pakistan exacerbates the issue and makes the country vulnerable.
Tehreek-e-Taliban, Balochistan, and other insurgencies are getting worse, and there have been attacks on the armed forces in Punjab and Khyber-Pakhtunkhwa provinces.
Balochistan, the Tehreek-e-Taliban, and other insurgencies are becoming worse, and there have been assaults on the military forces in the provinces of Punjab and Khyber-Pakhtunkhwa.
