Pakistan is flirting with a textbook emerging-market crisis. The central bank has raised interest rates to squeeze a current account gap. Subsidized interest rates on low-cost housing could plug the demand shortfall to some extent. Khan, who took charge nine months ago, is the nation’s 19th elected prime minister. The prime minister can only hope that the reordering of global supply chains will create opportunities and ease the pain of the country’s recovery.

Source: Mint June 12, 2019 19:07 UTC