A man counts Pakistani rupee notes at a currency exchange shop in Peshawar, Pakistan September 12, 2023. REUTERS/Fayaz Aziz
World
M
Moneycontrol08-01-2026, 20:32

Pakistan's IMF Exit Claim: Khawaja Asif's "Fantasy Economics" Faces $10.6B Reality Check

  • Pakistan's Defence Minister Khawaja Asif claimed the country would not need IMF aid in six months, citing defence export potential.
  • This claim is based on unverified military success during "Operation Sindoor" against India and ignores Pakistan's deep financial crisis.
  • Despite potential defence deals, Pakistan's $10.6 billion debt to IMF and structural economic issues cannot be resolved by arms exports.
  • Pakistan has a history of 24 IMF programs since 1958, with recent bailouts highlighting its continued dependence and inability to access normal borrowing channels.
  • IMF conditions expose "state capture" by elites, low GDP growth, high poverty, and crushing debt, making Asif's optimism "political theatre."

Why It Matters: Pakistan's claim of IMF independence is unrealistic, masking deep structural economic issues and continued bailout dependence.

More like this

Loading more articles...