Pakistan has been struggling to provide even basic amenities to its citizens, with milk prices skyrocketing to Rs 250 per litre and chicken prices to Rs 750 per kg. Recently, Defence Minister Khawaja Asif declared Pakistan ‘Bankrupt’, saying that the solution to the country’s economic crises lies within Pakistan, not with the International Monetary Fund. Many companies in Pakistan such as Suzuki Motors Corp and Ghandhara Tyre & Rubber Company have halted operations in the past few months due to the rising economic and political instability. In the past six sessions, the KSE100 index has fallen 2.5%, while it has tanked over 9% in one year.
On Monday, Pakistan Stock Exchange (PSX) opened the week in the red. The KSE100 index lost 444.97 points or 1.08% to close at 40,673.64 points. It fell as much as 494.64 points or 1.2% intraday. Today, it recovered some losses, rising 256 pts or 0.63% to 40,930.61. Analysts attributed yesterday’s fall to the lack of clarity on the IMF deal. The International Monetary Fund recently said that it may not be able to lend more funds to Pakistan as the country already has to repay a huge debt. On Saturday, Khawaja Asif said, “You may have learnt that Pakistan is going bankrupt or that a default or meltdown is taking place. We are living in a bankrupt country.”