Pakistan has agreed to approach the International Monetary Fund for a bailout package. Muzammil Aslam, an economic expert, believes that the PTI government will not be able to keep the promises it made before the elections.
“After coming into power, the manifesto of PTI has come to an end,” Aslam said. “Now, only the conditions of IMF and World Bank will be implemented.”
Finance Minister Asad Umar is leaving for Indonesia on Tuesday to meet World Bank and IMF officials.
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“We have no other option but to go to the IMF,” Mr Umar said in a statement. “We will have to take a loan to support the economy.”
Aslam is of the view that the tough decisions will worsen Pakistan's economic conditions as inflation will go up.
“By saying that Pakistan has to take some tough decisions and the nation will have to go through a difficult time, Asad Umar has indicated that the economy is going to suffer a setback and interest rate will increase,” he said.