How could the IMF come up with CPEC?
During Ishaq Dar’s previous tenure as Finance Minister, the inflow of dollars from the China-Pakistan Economic Corridor (CPEC) and low oil prices helped to stabilize the economy and gave Dar more influence. However, this is not the case currently as these factors are not present. Back in the day, the International Monetary Fund had described Pakistan’s economic outlook as positive, citing improvements in energy availability and structural reforms that support growth. According to the IMF, investor confidence in Pakistan was increasing as the economy stabilized following the completion of a bailout program. The report cites Chinese infrastructure investments as a factor in economic development, noting that these projects will create opportunities for local entrepreneurs and contribute to balanced economic growth across all sectors of the economy.
Approximately ten years ago, Indian media frequently focused on the positive aspects of the country’s economic growth, creating a positive perception and attracting investment from both domestic and foreign investors. This helped to improve the country’s economic situation. The government is trying to improve the perception of the economy, but these efforts have been weak and hindered by opposition parties that control significant parts of the country, including Kashmir and Gilgit-Baltistan. If the government could effectively address the challenges posed by opposition leader IK, particularly in Punjab, the economic situation could improve in a few months.
