“No country can become a worthy nation if it continues to depend on aid,” Pakistani Prime Minister Imran Khan said on Saturday during a PTI speech in Pakistan-occupied Kashmir (PoK). Galvanizing support ahead of general elections in the region, Imran Khan said Pakistan was on a path that would one day help support other nations than “begging for financial help.” He added that the country had become accustomed to seeking financial assistance. since he never thought of becoming autonomous.
âUnfortunately, we asked for help from foreign countries and never thought about becoming self-sufficient. [ourselves]”He said.” No country can become a worthy nation if it continues to depend on aid, “he said, quoting Dawn.
Pakistani debt is rising
The Pakistani economy is crippled by its growing debts and loans from international organizations and friendly countries. In March 2021, the World Bank signed agreements with Islamabad for a $ 1.336 billion loan, just days after the International Monetary Fund (IMF) agreed to release a $ 500 million loan tranche. Last year, the World Bank authorized a loan amount of $ 500 million to help Pakistan mitigate the negative impact of the coronavirus pandemic.
During the presentation of the fiscal and debt policy statement to parliament, the Minister of Finance, Dr Hafeez Sheikh, revealed that Pakistan’s total debt stands at Rs 36.5 trillion, of which Rs 11,500 is billion rupees borrowed over the past two years. Islamabad’s debt fell from PKR 32.1 trillion in November 2019 to PKR 35.8 trillion in November 2020, excluding IMF loans and commitments owed indirectly by Imran Khan’s government.
Besides international organizations, Pakistan also borrows regularly from the United Arab Emirates (UAE), which earlier this year demanded repayment of $ 1 billion from the debt-ridden economy. Pakistan last year managed to repay part of a loan guaranteed by Saudi Arabia after its all-time friend – China – rescued Imran Khan. Islamabad had asked for help from Beijing to return $ 1 billion to avoid any negative impact of the partial withdrawal of Saudi Arabia’s $ 6.2 billion financial envelope from Pakistan for three years.