Pakistan may go to IMF but will seek other options first: PM Imran

LAHORE: Prime Minister Imran Khan said on Sunday that Pakistan might need to return to the International Monetary Fund to address its mounting balance of payments crisis but would seek funding from friendly countries first.

Khan, who took office in August, blamed Pakistan’s economic woes on the previous government and repeated a promise to recover billions of dollars he says corrupt officials have stashed abroad.

He has been reluctant to ask the IMF for emergency loans that would be the country’s second bailout in five years.

“We may go to IMF for loan to handle the country’s financial issues,” Khan told reporters. “But, first we will try to get assistance from other countries as we have requested three countries to deposit money in Pakistan’s State Bank that would help boost national reserves.”

He did not name the countries or provide any details of the requests.

Any IMF bailout would likely include conditions to curb government spending, threatening Khan’s campaign promise to build an Islamic welfare state.

Khan blamed the previous government for the economic situation.

“Pakistan is suffering huge internal and external debt ... caused by corruption of the former rulers,” he said.