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United States' Secretary of State Mike Pompeo has warned that the US would closely be watching whether the International Monetary Fund (IMF) bails out Pakistan — a key player in China's One Belt One Road (OBOR) project, and right now in need of a bailout.
"Make no mistake, we will be watching what the IMF does," Pompeo stated in an interview to CNBC after saying that he would welcome mutually beneficial engagement between the US and Pakistan.
"There's no rationale for IMF tax dollars — and associated with that, American dollars that are part of the IMF funding — to bail out Chinese bondholders or China itself," he added, signifying that Pakistan's new government, which is severely in need of a bailout, might run into further financial troubles after taking oath.
Read: Why Pakistan is back in trouble with balance of payment
All indicators suggest the Pakistan Tehrek-e-Insaf's government — which is likely to take oath next month — will immediately have to approach the IMF for what would be the country's 13th bailout from the fund.
“Exports are down, debt is up, the macro indicators are pretty poor,” says Sehar Tariq with the US Institute of Peace.
According to the Financial Times, senior Pakistani finance officials are drawing up options for Khan to seek an IMF bailout of up to $12 billion. In a Reuters report on Tuesday, however, an IMF spokesperson said : “We have so far not received a request for a fund arrangement from Pakistan and we have not had discussions with the authorities about any possible intentions.”
Op-ed: Next finance minister will face a tough job
The other option may be further borrowing from China.
Through OBOR's flagship project China Pakistan Economic Corridor (CPEC), Pakistan has taken numerous loans from its trading partner China, which economists have warned the country will face difficulty in paying back.
According to a report in Dawn on Monday, China has agreed to pour in some extra foreign exchange on top of the CPEC funding and the rupee rise since the July 25 polls is being linked to this. The size of official inflows is $2 billion. Of this, $1bn has already come into our accounts, top bankers said while confirming media reports.
Comments (255) Closed
This is likely to result in a serious crisis unless China comes out to help.
CPEC! Game changer! Lol!
So America’s hostility to CPEC is out in open, looks like Pakistan is onto something good.
Pakistan don't need you.. Pakistan is better off without you.. So you go and do more
We will see US’s true face now. After Iran it will put pressure on Pakistan. This is what previous govts (esp) pmln has done via borrowing and spending on fancy projects.
who is gonna give money???
So much for 'working with Pakistan'. Just last week after IK won the elections, the US was all willing to revive the so-called 'friendshiip' with Pakistan and was calling her an ally of the US.
I never trusted the Americans and never will.
It pains when your dependents progress to your achieved level.
Time for Pakistan to prefer Euro as currency of exchange than USD !
Let CPEC be operational. Then Pakistan will be able to give loan to IMF.
Real face
America is so darn right.
What a joke. LOL.
China has sucked out all the foreign exchange by dumping its equipment under big banner CPEC making Pakistan indebted. Very much doubt IMF is going to bale out a country, knowing the funds will have to flow to China under interest payments, debt payments and imports. The song of CPEC bringing golden days for Pakistan look to be crashing against the wall. Time to stop spinning conspiracy theories about foreign countries wanting to derail CPEC and start blaming those who landed the country here. Financial experts have warned Pakistan multiple times not to walk into a well set trap.
Pakistan has made USA fool for a long time. Now I think USA has realized its mistake and working on this.
USA double standard... Instead of helping someone they create hurdles, shameful act.
Accountability for spending money is very high in US, as opposed to Pakistan.
start charging them more transports to Afghanistan
major financial institutions in the world like IMF,IBRD follow the guidelines of u.s.a.,america wants to further de-stablise the economy of pakistan which is in crisis & so it is raising objections against the IMF to give further economic bailouts to pakistan which is in dire needs for it.
American Dollars and US monies, no need to crib, this is the 1st of the many challenges, US is still the powerhouse.
Pakistan should not worry a bit!!.. they have grand CPEC and China...
But Muraad Saeed of PTI had already told us that Imran Khan will bring 100 Billion US Dollars within a month. So we don't need any peanuts in terms of bailouts. Imran Khan is enough for us. We will repay all our debts in 3 months as Imran Khan will bring all the money back for us.
Now the real game start.
@Ali Then Pakistan cannot not Ask for IMF loan ( which contains significant portion of American money). Is that OK?
The biggest debtor to China is the US. I think US would be making ready for war if there was talk of harming US bondholders (had it been the other way around and China owed money to the US)
For all the theatrics, IMF will bail out Pakistan. I am sure Imran Khan will compromise with conditions, to do well for his people.
Pakistan should just take loans from China. Anyway the country is indebted to China in a big way, more loan makes sense so that all the infrastructure projects can be given on 99 year lease and no repayment required for China. IMF will demand repayment.
It makes sense. Why IMF should sponsor Chinese entities? It's IMF responsibility to ensure the recipient country utilises the fund properly.
Pak should stop cooperation
The more the trouble with IMF bail out package, the more Pakistan gets pushed into Chinese arms. But by the way where are the rich Gulf sheikhs?
Yet another silly, brutal and cruel joke by racist Donald Trump's biggest stooge, who has no idea what he is talking about?
Tax imports find avenues with businessmen to increase exports, in one-year situation can be much better, not more time needed.
@Gaz I think this does mean that anyone is against CPEC. What they are saying is don’t take a loan of their money ( since IMF has big share from US) to pay back Chinese. Don’t shift loan from China to loan from US.
Grand welcome to IK
Just wait and see there is lot in surprise for you America. We don't want your backing.
The big game may be unfolding! Such intricate and elaborate measures by Pakistan establishment to dispose of Nawaz Sharif and bring in their own boy could only mean one thing: that CPEC is going to be shelved, at leas the Pakistani part of it. IMF bailout will be conditional upon Pakistan quitting the CPEC, and the new government will have to accept it "under great duress because the last government did not leave any room for economic stability".
@Ali your masters will eat you-have some understanding of economics
Wait for some time Pakistan will give loan to IMF
Actually CPEC is good each and everyone in Pakistan. Once Pakistan comes under complete Chinese control, they will ban religion and beards. Violent tendencies will be crushed with no compassion. Our instititions will be a taught a thing or two as well. From that point of view, CPEC is indeed a game changer.
where is our CPEC! Game changer
Economic war, pure and simple. Now is the time to get mature and look further than US.
He doesn't mince words....Pakistan has to find other sources of funding its debt.
Begging bowl has come out again for the nation. THis is getting repetitive?
@Ali Yes the USA is indeed leaving you alone, so go and ask China for bailout not the US funded body IMF. You can’t expect them to keep donating money to you when you only hate and criticize them
why Indians are so worried about Pakistani economic situation?
Once the cpec is one the ground pakistan will be the super power under the new supervision.....
Goes to show how much mismanagement, misrule and plundering has gone on by past governments with this 13th bailout needed.
Just shows the mess PMLN have left behind and also shows the US attitude towards Pakistan
IK will solve this problem without loans, IA. Let him take the oath and then he would bring all the corruption money back home to pay off all the foreign debt.
Why go to IMF? Just grab Nawaz Shareef and Zardari by their you know what and start squeezing them until they give up billions of dollars they have stolen.
US has always been a back stabber.
Long live Pakistan!!!
US threats via IMF is showing panic within US. Inshallah we will get through this stage as we have had been in the past.
Keep the course! OBOR initiative is really scaring everyone! Imran Khan just needs to appeal to overseas Pakistanis to send some more cash into the country and I am sure they will oblige!
The US Knows that IK led government will not take any dictation
Actually speaking it's PTI and PPPP which is reason for current situation. PTI and PPPP being in main opposition parties previously never gave equal importance to corruption and economic stability. They were fully bothered about bringing Nawaz sharif government to ground on basic on corruption. Because of PTI and PPPP forcing government to work on corruption cases only, PLM-N never looked at solving economic problems.
Usually in democracy it's opposition parties who need to show mirror to wrong handlings of governing party.. i think PPPP and PTI both failed in exposing economic policies.
2-Years since no body bothered to take a look at worsting situations on economic front... now it's like there is there are two wells, one IMF and second China, you have to jump into one one these to get bailed out.
Now let’s see how much of an iron brother China really is
Where are the guys who were dancing that pmln has made Pakistan an Asian tiger? This is the result of wasting billions of barrowed money on dead end projects to show off false develeopment.
Trap door closing ....
How many countries is America going to terrorise through economic, financial and ultimately military action?
No problem, increase the inland taxes on the NATO supply line 10 times.
Noose is tightening!
PTI criticized PMLN and PPP for years for taking loans from IMF, they are not even ashamed to do the same when they come into power. I guarantee you this government will not be a tiny bit different to the last one.
Stop their NATO containers
These types of irresponsible actions by US authorities will definitely strengthen the commitment and conviction of Imran Khan to attain self-sufficiency and self-dependency in all sectors of economic development. As a time gap arrangement, Mr. IK can seek the support from friendly countries and multilateral countries and gradually the country will be out of economic crises. The current crisis is result of ill monetary policies of the previous governments, which can now be corrected by the incumbent government.
@Himmat Very Funny...
Why China not writing these loans off for us?
with this stance towards Pakistan, US all set to sit in Afghanistan for rest of their life.
Economical crises is at its peak due to poorest performances of previous two governments. The best way out to plan a strategy to recover substantial looted amounts from the renowned culprits. Loan either from IMF or China will multiply the miseries and the nation will not be able to stand at its own. Every citizen should participate to built the country's economics. All of us who have the sources must surrender US Dollars voluntarily to save our generation. We should opt the liberty, not the slavery as if we are true Pakistani and have pain for the mother land.Lets trust the new government to raise the dignity of the beloved country, Pakistan Zindabad
Why should the world bail out Pakistan? Go to your iron brother for help.
Dear Pakistan, PAY YOUR OWN BILLS!
tabdeeli aa gayee, naya pakistan ban gaya, cpec zindabad
Please do not expect someone else to wash your dirty linen.
The economy's condition must be handled transparently. Let us all tighten our belts and get rid of any US economic clout, which will decrease their political clout WITHOUT getting bogged down by Chinese loans. Solutions exist.
It si time to realise the obvious: United States of America is no friend of the Islamic Republic of Pakistan.
Our new government must put Pakistan´s national interests first.
who cares what USA says. losing their credibility with all this talk
Legacy of EXPERIENCED GOVERNMENT OF PMLn including Ishaq Dar.
So much for Imran Khan's wishful thinking of equal relationship with the United States.
It can be a golden opportunity for Pakistan to get these IMF guys out of town for ever. But it needs radical changes in overall approach towards economic goals - will need high level of commitment through public engagement; high level of tax collections and control over outflow of the money from Pakistan; extra ordinary incentives to investors. last resort can even be financial emergency but that is beyond scope at this time.
How we overseas Pakistani can help in this matter please lets know.???
Pakistan could have borrowed from Saudi A.
It is about time to sell the domestic and foreign assets of the PML-N and PPP BIGWIGS that they amassed looting the GOVERNMENT/PUBLIC MONEY to provide the new government any financial relief instead of keep borrowing and or getting knocked in the head!
@ROCKY just wait. Nothing happens overnight. Besides, the previous two governments have lrft us in this mess, but now the right person is leading and will take us out of this economic situation.
US is behaving more like a foe than a friend. After such statements, they shoukd not ask for any help from pakistan in Afghanistan.
Shame on the USA for crying foul and whinging about the fairness of our general elections and telling us who can and cannot contest the elections!
@Gaz
America is never a friend but a visible foe that will try their best to harm the only islamic nuclear state
The Trump team lacks wisdom and experience in International relations!
This is the real outcome of Mr.Dar's so called economical policies and what that incompetent government has been doing with this country
Awesome USA..
This shows what US's intent towards Pakistan and what kind of (puppet) leadership it prefers, definitely not PTI! Every Pakistani citizen should rise up and put their hand in their pocket to help bail out our country with IK at the helm we know that every penny will be accounted for!
Concentrate on CPEC. This will solve all problems.
I thought IK said we will not be asking anyone for help. We should learn to live within our means rather than ask anyone for more help.
One more reason why US cannot be trusted and why IK was able to win, due to his staunch anti-American stance on many issues, including our over-reliance on US Arms supplies, foreign policy influences vis-a-vis US in Afghanistan, US drone strikes inside Pakistan etc.
Now we can all understand why the Iranians so passionately hate the American government. Their duplicity and betrayal of Pakistan time and again is well documented. They have not only have uncanny knack for being ungrateful for Pakistan's help, but have let Pakistan down on many occassions at the critical hour, including the 1971 war and have made promises which US never honored.
So much for being the 'closest non-NATO ally' of the US. Time for IK to completely review the relations with the US and hedge the bets with alliances with Russia, Turkey, China and EU.
@hyat sahib it is not worry. It is pure schadenfreude. These are crocodile tears. Modi has the power to fix this with one stroke of a pen. Give Pakistan $12 Billion with no strings attached. Imagine what this will do goodwill factor. World knows we have the money.
This is how it goes when you have people like zardari and nawaz running the country and public have zero understanding.
Eyes on Asad umar to respond. I hope he finds other means to find money and not go to IMF
One clear call from Imran Khan and Pakistani public will fund him! We will support our country.
Thats fine, if the iMF cant, im sure Chinese banks will offer one because its in their interest and they know Khan is going to put it to good use. Also, all China has to do is liquidate some US bonds and they will be able to finance the loan quite easily. Pompeo needs to take some Econ 101!
Being biggest contributor to IMF, US has every right to see where it's money is being deployed.
No bail out for imran khan....
Taking help from friends is OK but on the long run help yourself with your own resources and hard work is what matters. Hope Pakistan accepts this. You can rise slowly, one step at a time but do it yourself.
As expected Americans would try to fish in troubled waters. One may ask him why Americans sold their bonds/treasury bills to the Chinese?
The new government should do a proper feasibility of the CPEC and ascertain with transparency the whole project. Only then should they proceed with any confidence.
This is all assumption they are making. Officially IK Government has not requested for IMF bailout...
Finally the true colours are showing. Pakistan should stand its ground and arrange for a bailout by other means if possible. No more favours to the US will be in order.
I am not sure when will the Pakistanis understand China is not our friend. Their intention is to make money out of troubled conditions in Pakistan...
Living on loan is not an option for Pakistan. Policy of cost reduction and income increase are the solution.
@Ranganath Elevate your understanding
makes sense.
@Dr. Salaria, Aamir Ahmad You cannot pay credit card bill by another credit card.
Look at the face of the country for which more than 10th of million Pakistanis have given their lives !!
Should this be taken as blessing in disguise?
@Indian Typical Indian: always negative, always hostile. It is Pakistan who has been played fool by USA. Our losses in human numbers and evonomy far putnumber what ever oeanuts USA is putting on the table.
@Ali you don't understand IMF is very dependent on US dollars and US has major influence on it so it DOES matter what the US thinks
Money should go to people not paying off heavy interest Chinese loans !
@junaid what cooperation?
we don't want tainted dollars, blood soaked US money
Why China not give us free aid?
We have to avoid IMF Program as much as we can... Come one Kaptaan and Pakistani Nation to get ready ourselves for Great Sacrifice for this country.
This is a shocking statement by a responsible US Official tantamount to open enmity between US and Pakistan?
Time to try and cut the slave chains of the IMF, world Bank and the US. Work towards self reliance.
First of all we should stop imports of all luxury items for which we spend billions of $ just to give you an example our annual imports of cosmetics is 9 billion US $,so if we stop that plus the loop hole being exploited by Ali Express should be plugged where millions of items are pouring in Pakistan without custom paid.
basically what Americans are saying is that we will not give money to pakistan so that they can ay off their loans to China
We will be ok.
@A shah Sorry there is not even single bench mark reference for this.
Pakistan will do good if they make India as friend, take an attitude to be flexible and ready for business with India. India will be a huge market for Pakistan; not only for its products but also for movement of goods and services from Central Asia to India. The whole transportation industry- rail, trucks, etc from manufacturing to services will see huge income. Yes, India will be benefited, but it will create huge amount of job and income for Pakistan. It will be unwise to not take advantage of Indian market, just to prevent India from any benefit.
@Gaz America wants China to suffer, thats why.
Ask Russia for H.E.L.P or start trade with India
A clear indicator that after 5 years of PML-N rule, Pakistan is in worse shape financially. All these hurdle maker parties must be shunned by people of Pakistan
@Indian no its USA making whole world fool, including India
The reality dawns on the great khan!
For all the bravado of Pakistanis here, there is no reason for Pakistan to replay Chinese loans by taking more and higher interest loans from IMF.
@hyat India is just telling, that Pakistan has tried all options, and has landed in this debt, requiring bail-out. When the developed world is seeing India as a major market, how and why is it, that Pakistan not able to see it and take advantage from it.
Thanks to PPPP and PML( Noorah league) messed up so much .... PTI has to clean their messsssssss..
Who cares? Nawaz and Zardari got billions worth properties in Europe and they are safe. And Ishaq Dar the man responsilbe for this economical mess is also hiding abroad.
AT least no one can blame PTI for this mess ...which is inherited ...
Pompeo says that the IMF providing support for Pakistan would constitute American taxpayers providing support for Chinese loans in Pakistan. Someone needs to remind Pompeo that the US relies on the very China he denigrates to use the savings of Chinese taxpayers to support the US's borrowing; the US has only had 3 years since 1980 (38 years ago) in which it has recorded an external surplus. If it were not for China (and Japan before that), it would have been forced to live within its means, something it is incapable of doing. The amount of US debt owed to China is in the trillions of dollars (thousands of billions), not a few billion as with Pakistan and the IMF.
Pompeo's petulance, however, does have the advantage of highlighting two things. First, the IMF is not some impartial technocracy, but is in actuality an instrument of the US government to further US goals. And second, that CPEC must be an extremely good thing for Pakistan, given how determined the US is to stop it.
IMF loans (cheap loans) to pay off Chinese loans (expensive loans)
It's tough times ahead on foreign diplomacy and economy. Until and unless if no strong from inside no body Will come out to rescue.
IMF or World Bank, we just need to get out of this loans thingy institutions, I know the difference between W.B and IMF by the way so no lecturing. USA is actually giving us a favor. New govt need to come up with Tax reforms and revenue generating methods. One thing we can definitely learn from USA and that’s actually how to collect tax and how to make institutions strong, like mighty IRS but what we have is FBR which is useless and pathetic.
This going to be a real ball game Imran khan has never played in his life time.
This is the result of complete negligence on the part of PPP and PML-N governments.
Pakistan can overcome this, just like it did during Musharrafs tenure.
A friend in need is a friend indeed!
This is the actions of the previous PLMN government who have left the country in financial mess.
And want us to treat them as a friend. IMF gives loan not aid on hard terms still trying to create difficulties for a country who helped them to become sole world power. I will suggest to take loan from China a tested country of all weathers.
Pakistan was better off without he corridor
The age of free money is coming to an end.
The poor economy which is partly due to agitational policies of PTI, is going to haunt PTI itself for quite some time. I wish the new opposition does not follow the footsteps of IK.
Since day one people were asking how much of the $ 60 B CPEC projects is FDI and rest loan. No one answered that question, reason unknown. IMF is not there to finance country X to pay loans of country Y, they finance when citizens of country X benefits. The world does not see CPEC as benefitting Pakistani citizens, doubt IMF will see differently.
Funny, a bully is scared. Defeat in Afghanistan is a reminder for them of Vietnam.
IMF and UN are nothing but American dominated nuisance organisations aiming to destroy the world in general and Muslims in particular!!
IMF is International Monetary Fund, not an American company.
Instead of blaming US blame the leaders who were in powers for 10 years and looted Pakistan like any thing. Measures to bring back looted wealth should be top priority.
Thank you US for coming out of closet and exposing your true colors. Time for US to leave Afghanistan and Midday Rast or suffer.
The CPEC is the thorn in the U. S. A's. throat. It will lead Pakistan to freedom from the American clutches for all the times to come. That is something which doesn't go down Americans' throats, as a free non-obliging Pakistan could state its own terms in the future.
The US will do all its power to stop Pakistan from getting free from its clutches. Threats and benevolences', or to put it in laymen's terms, carrots and sticks will go all the way to stop Pakistan from achieving its dream of getting out of the American hegemony.
This is basically saying that Pakistan has borrowed from China at high rates and now wants IMF bailout at low rates to pay those loans off. US doesn't want to subsidize that, and it has a point. Also, how are those IMF loans going to be paid off? More loans? From whom?
@Himmat Like Realllllly
Americans now officially rejected to help Pakistan on the face of positive change and potential explosive growth. The negativism towards Pakistan is so strong that they agree to see us with their biggest rival.
Pakistan should say NO to IMF
Does Mike Pompeo know China is the largest bond holder aka a foreign lender to the US (apart from Fed of course)
it is real face of USA. They can not be friend anyone.
Mr America we will come over these difficult HOURS also-INSHALLAH. You will remain rubbing your hand.
This is solid proof that Ishaque Dar of Nawaz League destroyed Pakistan economy so much that an IMF bail out is now needed.
IMF is an "independent" institution and makes it own decisions (yeah right). Not sure what Pompeo is on about, $2 trillion our of the US's 18 trillion debt is already owned by China (source: wikipedia)
Don’t get too happy Indians. Your new friend Trump will be impeached by Mueller soon.
The best thing would happen if IMF does not help Pakistan. Pakistan can and should stand on its own and after a short time of tightening the belt will come out leaner.
Cpec idea was good idea but whole calculations were wrong. Pakistan will not get any benefits for very long time because of high interest rate payment to China. China is clever by going loans at high rate plus using Chinese labour, so they double benefits.
@Himmat is it?
@hyat because we care!
@King is this SARCASM or wishful thinking?
Doesn't China hold a huge share of US debt? Whats the problem then?
China gave loan to Sri Lanka , which Sri Lanka could not pay back, in return they have to give their Sea Port to China. I hope Pakistan do not have to do that and loose Gawader Port.
Pakistan's been ally of US since1954. Can anyone name an infrastructure project in Pakistan sponsored by US?
@Ali but the news is that IK is approaching the IMF not the other way round.
That's what the NS govt. left for Pakistan . Empty Bank.
The bully is again at work
@lafanga Do you think US policy towards Pakistan will change if someone else comes to power? You are more naive than I thought...
IMF gives loan and not a free grant. So US makes money from their tax payers money. It is their right to see risk attached to every bailout package. Please consult Ishaq Dar for the feedback.
So the Pakistani grand plan was to use American money to pay chinese loans? Get everything for free? The world is not stupid...
It’s pathetic to see so many Indians here commenting on something that is pakistan’s Internal matter. Clearly shows you who is obsessed here.
US warning to IMF is very bad news for Pakistan as US has full control over it. Pakistan urgently needs bail out of 15 to 20 billion dollars from IMF which it is unlikely to get from China. However, if Pakistan stops imports and increases its exports it can still get over this problem but CPEC projects shall be seriously affected.
Pakistan will find a way to overcome since now we have an honest government who is working for the well being of Pakistan and it's citizen. The mess this current corrupt government created will pay and we will pay back IMF with the looted money they have stashed outside the country. Bring back our money and we will pay IMF and be done with them.
Pmln and ppp money talks...
Who will give loan to repay loan to a country in Pakistan's state today. Is IMF is a charity fund?
@Jiyalo Wadero You are certainly bright, bro.
There are many friends of Pakistan. Don't need Trump's dollors.
@hyat Who did you say were worried?
@Surya Kant Pakistan needs money to pay China. How will China help in paying themselves. Only way is allow Pakistan to delay the payment, that will result in Pakistan paying higher interests.
The last two governments have driven Pakistan to bankruptcy , while the wallets of the politicians have swelled up , I believe this will have to change , I hope Imran Khan can do it.
It is a fair point. IMF funds come from US tax payers and from tax payers around the world. Why should they bail out reckless Chinese investments?
Interesting! This is the time to win Pakistanis hearts and here are we with a clear evidence. Pakistan will eventually overcome all these difficulties.
I hope Imran Khan does not lie about CPEC as Nawaz did. He should not hide anything as far as Chinese loans are concerned. If Pakistan goes for IMF loan he must plan how they will pay back and at what rate the loan has been taken. Transparency is must in all deals. He should appoint some competent economists and must listen to them if they really want to come out from this present mess. The real test begins now.
This is the time for Pakistan to identify its friends and frenemies.
@Asad It is undergoing some much needed change.
What Pompeo do not understand that there is a price of erratic behavior, its not him who end up paying the price, it is probably American tax payers and American troops who pay dearly. Waiting to see his boss being impeached and him being kicked out of office.
Pakistani American.
It is interesting but not surprising to see indian anti-Pakistan comments here. Dont worry indians this is not your concern. The US had always used Pakistan for their own disastrous schemes. The management in Washington is angry that someone like IK has been elected who will stand up for the nation, finally. They would have preferred a yes-man like nawaz or zardari. Pakistan will keep winning going forward, inshahallah!
Pakistan really need to come out of its shell. A good trade relation with India will boost the economical condition of Pakistan. and This will be the game changer not CPEC. Hope new government does something in this direction.
Why not approach China itself?
@Himmat Dream on!
This myopic stance of United States against Pakistan should not come as a suprise to any one. In the context of regional geopolitics any arm twisting by super power will be detrimental to building mutual trust and would not serve interest of either party. Pakistan need not worry. In long run it will be United States that will need Pakistan more then otherwise. The new democratically elected government will work with its partners to renegotiate the terms of debt arrangement on favourable terms and work on achieving financial independence. The World Bank must strive to maintain its independence and sovern stature by upholding its founding principals.
@Gaz Good...like your older generation... u still living in deniability...
The US is not a global bully powerhouse anymore, so countries can now make the policies that benefit their people instead of favor the US interest.
With China US trade war let us see how much money China has.
Even if IMF gives funds it will come with stringent rules. We can not afford the IMF regime. Our worst fear is not IMF but China's hegemony when we fail to get CPEC earnings. CPEC will dent our exports further.
Pakistan being such a populous country blessed with full of resources and being in existence for 70 years still wants a bail out from IMF?
Thanks to Nawaz and Zardari for throwing Pakistan into this mess.
@lafanga whoever replaces Trump will be doing same thing. India has nothing to lose in either case.
@junaid good idea...
@Surya Kant Agree
Doesn't China hold Notes on the USA? Some $ trillions? Best solution to topple USA would be to accept Petroleum & products against Euros or British Pound instead of US $. It would collapse the economy of USA.
@A shah nice try loser
Eventually , IMF would bail out Pakistan this time , but Pakistan should realise that the window of opportunity is closing fast.
These Americans think that they own the world. It high time all Pakistani unite and set a proud example before all Asians. Pakistan has the resources to develop in a economic superpower. It only needs able and honest leadership, which has come in form of imran khan
It is indeed funny to see that people who don't understand E of Economics are making superlative comments about cpec!
And we took them for friends....
All possible steps are underway to stop Pakistan from getting out of the clutches of US. We Pakistanis are lucky in a sense that a new leadership has emerged in the country and hope that we follow strict checks on the spending and will not bow down to the US pressure. Let them stop from misuse of Pakistan whatever techniques they use against the country.
@Indian Only an Indian can think like that. Stop obsessing with us, go make a life for yourselves.
This 5 year term is going to be no joke for whoever is ruling in Pakistan. Wait and see.
Pakistan can do without US helping. Proud to be a Pakistani
I think america is giving us a chance to stand on our own feet. Well this can be a step towards a sustainable economy. Good Luck my Pakistan. Best wishes.
US- Is it a Friend or foe, that is the question , my friend.
Quite amusing to see Indians firstly on this Pakistani media forum, and secondly, getting so excited , thinking Pakistan is economically in a problem and that US is against us.
We have CPEC and a good friend in China . But India has neither and India has lot to learn about US friendship.
USA-a friend of Pakistan? Think again.
Thanks to nawaz sharif..and zardari.. No imran khan have a huge task before him But i am sure he wil drag pakistan out of this crisis And hunt all the money of their pockets of pakistan Zardari..nawaz. and not to forget ishaq dar.
@ROCKY Just wait a while bro..imran wil take outh soon And the world will see difrent picture of pakistan So be paisent and wait
China money and IMF money run counter to each other and are ,therefore,not helpful in the present environment
@Snag do t you worry, worry about your country!
Get the monies back from all the corrupt politicians. Even if 30% gets back, Pakistan will not have to go anywhere for loans. - well wishes from across the border.
Hope the in coming Government will do it’s best to collect taxes which are legitimately due to the Exchequer. They will need to cast their net a lot wider. On the Balance of Payment front, Pakistan will need to live within its means. Some exchange control regulations will be inevitable.
@A shah dear indian...mind ur own business
A blessing in disguise. Also a lesson for elites why not to fight other's wars.
Avoid IMF at any cost. It will be beneficial for nation in long term.
The only game changer is Human Development and for Mr Imran Khan it is his number one priority!
Bring back 200 billions dollars laying outside which was looted money by politicians next ask expats to pour money thirdly reduce government expenses.these three will help in short term then collect tax from all and plug all corruption
@Leg Umpire Good Thinking!
Pak should check their exports and imports first and decide their relationship. Ask China to give special consessions for Pak exports, so balance of payment be in favour of Pak
Otherwise Pak economy will be crushed, learn from Trump. China is doing the same with all countries.
I am disappointed to see media analysis critical of Pak Govt.
China should write off some loans on us. We are already heavily in debt and need a helping hand from the iron brother
@lafanga trump is no ones friend
Good move America. We Pakistaniz need to understand how to spend wisely.
This decision is to expose the evil designs of China and as such not against Pakistan or it's people.
Makes sense for America!
Why always bailouts when Nawaz was claiming of great economic giant Pakistan. He should be made accountable for the mess.
It is what IK has inherited from the looters of Pakistan.
Very good decision. Pakistan is in debt trap because of China. So China should bail out.
@Feroz China has sucked out all the foreign exchange by dumping its equipment under big banner CPEC making Pakistan indebted. Very much doubt IMF is going to bale out a country, knowing the funds will have to flow to China under interest payments, debt payments and imports. The song of CPEC bringing golden days for Pakistan look to be crashing against the wall. Time to stop spinning conspiracy theories about foreign countries wanting to derail CPEC and start blaming those who landed the country here. Financial experts have warned Pakistan multiple times not to walk into a well set trap..........
Very well analyzed Feroz. By far the most prudent and logical analysis.
Year or so ago, I had expressed my view why CPEC is bad for Pakistan, and the reason behind China’s initiative benefiting her own industries, labor force and expanding leverage over government. My observation was based on how China’s One Bellt One Road initiative has turned out for the other countries in the world, and how they have become heavily indebted to China. In the event, the debt payment could not be made, Chinese have taken control, but my comments were never published in “comment section .” The moment of reckoning has arrived, and now Pakistan is susceptible to black mailing by both, China and U.S. I hope new prime minister would evaluate CPEC and decide if this is in the interest of the country’s.
US is not happy to see the golden bird, slip out his hands and go to CHINA.
CNBC posed a loaded question and Pompeo casually said we will look that money does not goes to China ... overly sensationalized coverage!
It is a real friendly act. Unuted States does not want to burden Pakistan with additional debt on which they have to pay interest. May be the USA and Saudi Arabia will offer interest free loans or just grants to their 'old friend Pakistan.'
We cannot trust USA they have never favor us any time money coming its for to destroy country Mr Khan when in power keep a distance with USA and get close to China our real friends
Pakistan should spend each and every penny wisely.
Pakistan had not asked for charity, but US to use IMF as a whipping post is shameful. IK should ask overseas Pakistanis to donate into a specially created fund for the purpose, most overseas Pakistanis will not blink an eye to help IK overcome its immediate dilemma.
@Omar not a single infrastructure project done by China either if that is what you are hinting I believe they are only loaning you money to pay them back to make a road using their material and men and then retaking the loan at a ridiculous rate of interest
CPEC shows how things can go wrong.
@Indian Now time for US to make India fool and India still not realised it.
@Feroz worry about your impending huge loan repayments becoming due and India preparing to ask for rescheduling of loans repayment.