Pakistan's Economy: Fallout of 2022 Economic Distress Magnified the Need for Structural Reforms

Pierre van der Eng

Asian Economic Policy Review, 2025, vol. 20, issue 1, 128-146

Abstract: This present paper discusses the main issues gripping Pakistan's economy. It takes a long‐term perspective to indicate that several economic issues are structural, going back at least 60 years. The present paper substantiates that Pakistan's current issues were aggravated during 2022, particularly by the damage caused by large scale floods. Government relief efforts increased budget deficits, public debt, and inflation. Crop failures dampened export earnings, increased the current account deficit and added urgency to the need to mobilize foreign exchange for foreign debt servicing during 2023. In 2024, resolving foreign debt servicing obligations is the touchstone for achieving macroeconomic stability and initiating reforms to change structural factors inhibiting Pakistan's economic growth.

Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1111/aepr.12486

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:asiapr:v:20:y:2025:i:1:p:128-146

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=1832-8105

Access Statistics for this article

Asian Economic Policy Review is currently edited by Takatoshi Ito, Akira Kojima, Colin McKenzie and Shujiro Urata

More articles in Asian Economic Policy Review from Japan Center for Economic Research Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().