The constant reduction in size of the federal Public Sector Development Programme over the last three years is yet another indicator of Pakistan’s persisting financial and economic crisis. According to media reports, the IMF wants Pakistan to reduce expenditure by about 163 billion to Rs183 billion to compensate for a major revenue shortfall. This would endanger its chances of receiving a longer and more substantial bailout to stay afloat. However, this’recovery’ is fragile, and any shock now could result in a relapse. In this scenario, it is unrealistic to expect the government to increase investment in public infrastructure development anytime soon.

Source: The Patriot May 13, 2024 22:10 UTC