© 2018 Bloomberg Finance LP America should stop providing aid to Pakistan, which ends up supporting the country’s rich and powerful. “Washington support is often reflected in its endorsement of Pakistan’s applications for aid from international financial institutions such as the International Monetary Fund and the World Bank,” says Zaidi. So w hy Pakistan is running into debt problems that require foreign aid to solve them? “This is a classic moral hazard problem: the luxury of always being bailed out has allowed the Pakistani elite to live with great impunity. The elite needs to decide do they want a country or not,” Franche stated in an interview with the Business Recorder.

Source: Forbes April 20, 2019 14:48 UTC