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Rumors of Pakistan Economy Default until IMF Loans Return

A global default, on the other hand, refers to a country’s failure to meet its financial obligations on a global scale. This type of default can have far-reaching consequences and can lead to a financial crisis not only for the defaulting country but also for other countries and financial institutions that are connected to it. Global defaults are generally considered to be more serious and more damaging than technical defaults.

Political Reasoning

Politics and the economy are not mutually exclusive. In your next ‘wtf’ move, PTI leadership has decided to jeopardize the IMF payments. With all the pain and destruction that is happening due to the floods, this was the last thing needed. A few of my PTI friends are not doing business, a lot many overseas are not doing usual remittances and many speculate dollar to bust to a whopping 300 rupees meaning they can manipulate demand and create fear of scarcity by holding dollars and putting their money in non-serviceable dollars.

READ:   Products and goods that can increase Pakistan global export index?

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