Pakistan Economic Crisis

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Sri Lanka’s economic collapse rapidly transformed into a political crisis marked by inflation, fuel shortages, depleted foreign-exchange reserves, debt distress and mass protests in Colombo. This article examines the major causes of the Sri Lankan crisis, the fall of the Rajapaksa political establishment, similarities with Pakistan’s economic vulnerabilities and key lessons for Islamabad.
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Pakistan’s long engagement with the IMF has provided repeated short-term relief during economic crises. However, fiscal weakness, inflation, energy sector inefficiencies, tax gaps, and incomplete structural reforms continue to raise questions about whether IMF programs can truly deliver long-term stability.
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