Pakistan is facing the risk of economic default amid increased political uncertainty following the removal of Prime Minister Imran Khan last month.
Foreign reserves held by the State Bank of Pakistan fell by $190 million to $10.3 billion this month, sending the Pakistani rupee to an all-time low in the interbank market of 191.77 rupees per dollar, according to local reports.
Pakistan’s inflation rate has gone up to 13.37 percent amid soaring commodity prices.
Shabbar Zaidi, former chairman of the Federal Board of Revenue, said the country’s account deficit could increase to $17 billion by the end of the 2022 fiscal year, up from the projected $7 billion, due to the “unsustainable” cost of imports….