The State Bank of Pakistan's recent rosy assessment of the economy paints a picture of recovery, but a closer examination reveals troubling fault lines beneath the surface. While key indicators show improvement, their sustainability remains precarious—tethered to external lifelines and masking deep structural weaknesses that continue to plague the nation's economic foundations.
Prime Minister Shahbaz Sharif’s approval of the revised Indicative Generation Capacity Expansion Plan (IGCEP 2025–35) marks a rare—and welcome—departure from the decades of mismanagement and rent-seeking that have plagued Pakistan’s power sector.
1948 was the year of the dollar's absolute dominance, and it continued to grow until countries began courting America by pegging their currencies to it, while other countries concluded agreements with specific baskets to indirectly denominate them in the dollar.
When the world goes through economic or political crises, what is called "safe havens" emerges, to which all investors turn when crises occur. One of the most prominent of these safe havens is the dollar.
Corporate Pakistan may share in the patriotic surge across the country, but business leaders, mindful of the risks, are calling for swift de-escalation of tensions with India. Some warn the conflict threatens South
Pakistan faces an escalating frequency of natural disasters, necessitating a strategic shift in financial planning. Traditional systems, which react only post-disaster, prove ineffective. Instead, we need proactive planning that predicts risks, allocates resources, and focuses on risk reduction.
On 1st July 2024, Pakistan secured a new 37-month, $7 billion loan deal with the International Monetary Fund. This Pakistan’s 23rd bailout in 75 years. Pakistan ranks fifth in outstanding debt with the IMF, standing at $7.4 billion, following Argentina, Egypt, Ukraine, and Ecuador. Pakistan has been one of the nine prolonged users of the IMF resources.