Life a struggle as inflation soars In crisis-hit Pakistan

Politics has split the country and economics is promising to upend the lives of its citizens

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ISLAMABAD As Pakistan lurches from one crisis to another, citizens are taking to the streets to protest against a dual economic and political meltdown with little precedent in the nation’s post-independence history.

For months, the world’s fifth most populous country has edged closer to a debt default, echoing the cautionary tales of other developing economies, including Sri Lanka and Venezuela.

Inflation is at a 48-year high. Foreign currency reserves cover less than a month of imports.

The bill for billions of dollars in damage from 2022’s devastating floods continues to sting, highlighting the financial consequences of a warming planet.

Talks for bailout money from the International Monetary Fund failed to yield a deal last week and will continue, providing no immediate reprieve.

However, the amount on the table part of a US$6.5 billion S$8.6 billion) loan programme is still far from enough to replenish Pakistan’s depleted coffers.

Fighting between Prime Minister Shehbaz Sharif’s government and Mr Imran Khan, the ousted former leader, has cleaved the country. National elections expected in the second half of 2023 could turn messy.