‘Heavy losses inflicted’: Pakistan govt asks for more loans from international partners

The Economic Affairs Division of the Pakistan government has asked for a bigger dole from its international partners, citing heavy losses following the retaliation by Indian forces. This comes ahead of Pakistan’s meeting with the International Monetary Fund today that will review the extended funding facility to Islamabad. 

“Govt of Pakistan appeals to International Partners for more loans after heavy losses inflected by enemy. Amid escalating war and stocks crash, we urge international partners to help de-escalate. Nation urged to remain steadfast (sic),” stated the Economic Affairs Division of the Pakistan government.

However, the officials later backtracked. According to Reuters, the economic division did not post the tweet asking for more loans from international partners, and that their X account has been hacked. 

Meanwhile, India has indicated that it may urge the International Monetary Fund (IMF) to exercise caution regarding its bailout package to Pakistan. Foreign Secretary Vikram Misri stated at a Ministry of External Affairs briefing that India's executive director at the IMF will present New Delhi's position during the meeting. He emphasised that the IMF board should carefully consider the facts before approving any bailout for Pakistan.

Misri questioned the success of previous bailout packages, noting that Pakistan has received 24 such packages from the IMF, but few have reached successful conclusions. He said the board members need to reflect deeply and assess the situation thoroughly before making decisions.

The IMF board meeting will review Pakistan's economic performance under its current IMF-supported programme. It will decide on loan disbursements, programme extensions, or policy adjustments. Pakistan managed to secure $7 billion in bailout funding from the IMF last year, after which it was granted a new $1.3 billion climate resilience loan in March. The IMF is expected to discuss a $1.3 billion loan to Pakistan today.