ISLAMABAD – Tensions between arch-rival Pakistan and India are at all-time high as two sides have taken extreme measures against each other after Pahalgam attack. Amid digital blackout and other extreme measures, India now approached International Monetary Fund (IMF) to review its financial assistance to Islamabad.
International media reported that Ithe ndian government urged US-based lenders to review loans to Pakistan, a source from New Delhi told international media.
South Asian nation, which is currently under a $7 billion IMF bailout programme, received additional $1.3 billion earlier this year for climate resilience. In recent times, funds from the IMF have been crucial for economic revival, which was previously on the verge of default.
Meanwhile, Indian extreme move to block funding raises concerns about continued financial support to Pakistan amid allegations of cross-border terrorism. Amid worrisome development, IMF representative to Indian finance ministry are yet to clear air on the matter.
The international community has expressed concern over the escalating situation. U.S. Vice President JD Vance urged cooperation between the two nations, saying Washington hopes Pakistan will assist India in tracking down those responsible for the attack.
As tensions mount, global observers are urging both sides to exercise restraint to avoid further escalation in a region.
Pakistan IMF Review
IMF is slated meet on May 9 to review Pakistan’s $7 billion bailout program and consider approving a new $1.3 billion climate resilience loan. The country is expected to receive a total of $2 billion in fresh funding. The decision follows a staff-level agreement reached in April after extensive talks between the IMF and Pakistani authorities.
The climate loan, spanning 28 months, aims to help Pakistan address growing environmental risks while continuing broader economic reforms under the existing bailout.
Panicked India blocks Pakistan’s PM official YouTube channel following Pahalgam incident
