Pakistan’s debt crisis deepens as IMF deal hinges on US support

ByEnigma 808

Pakistan’s economic struggles have deepened, with its external debt reaching USD 135 billion by Q2 2025. China, its largest bilateral creditor, holds around USD 30 billion of this debt. Pakistan faces over USD 23 billion in external debt repayments this fiscal year, with total debt including domestic debt at approximately USD 267 billion.

In response, Pakistan has intensified diplomatic efforts with the US to secure IMF support. The IMF recently announced a staff-level agreement for financial assistance, contingent on approval from its Executive Board. If approved, Pakistan could receive around USD 3.3 billion in total disbursements.

Pakistan is also seeking support from other creditors for debt rollovers and further international financing.

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    Besides writing and being a content creator, Enigma 808 sometimes likes to watch paint dry on walls, listening to ASMR while timing snails racing. Such is life.