Neighboring Pakistan is facing a severe financial crisis. Pakistan is mired in economic crisis due to lack of foreign exchange reserves and sharp rise in prices. Imran Khan’s government is said to have collapsed due to this economic crisis. Following this, Shebaz Sharif became the new Prime Minister. Yet the economic crisis remains a major problem.
Meanwhile, the Pakistani rupee has depreciated to 185 against the dollar.
Lack of foreign exchange reserves to buy coal in Pakistan has severely affected power generation and led to power shortages. Thus the attempt to revive the economy is paralyzed.
After becoming the Prime Minister of Pakistan, Prime Minister Shebaz Sharif visited Saudi Arabia for the first time. Speaking there, Shebaz Sharif called on the country’s leaders to help resolve Pakistan’s economic problems.
Following this, the Saudi media has reported that the Saudi Arabian government has agreed to provide US $ 8 billion (Rs. 61,218 crore in Indian currency) financial assistance to Pakistan. Pakistan has demanded that the oil fund for Pakistan be doubled from $ 1.2 billion to $ 2.4 billion. Saudi Arabia has agreed to do the same.
Prime Minister Shebaz Sharif and his delegation have returned to Pakistan from Saudi Arabia. It is noteworthy, however, that Pakistani Finance Minister Mifta Ismail is still staying there to finalize the procedures for borrowing.