After the terrorist attack in pahalgam, Jammu and Kashmir, the strict measures taken by india have worsened the condition of pakistan, which was already bad. After India's strict action, not only Pakistan's stock market, but its entire economy has started to falter.
India's big steps
After the pahalgam attack, india has suspended the 'Indus Waters Treaty'. Along with this, the SAARC visa exemption for Pakistani citizens has also been stopped, the staff of the High Commission has been reduced and the Attari border has also been closed. The result of this was that the pakistan Stock Exchange crashed. At the same time, due to the closure of trade, the prices of many essential commodities have skyrocketed.
Pakistan's economy was already in ICU
It is not that Pakistan's economy has faltered only after India's strict stand. Even before this, Pakistan's financial condition was not very good. The IMF has reduced Pakistan's GDP growth to 2.6 percent and the Asian Development bank has also reduced expectations to 2.5 percent.
On the other hand, Pakistan's own ministers were also appealing to drink less tea, because loans had to be taken even for tea import. Inflation there had reached 38.5 percent in 2023, reserves were also enough for only a few weeks of import and interest rates had reached 22 percent. Let us tell you, this is the same pakistan which remained in the grey list of FATF for about five years due to allegations of funding terrorism.
pakistan will crave for every grain
When india put a brake on the Indus Water Treaty, Pakistan's agriculture has also been put in danger. 90 percent of Pakistan's crops, wheat, rice, cotton are irrigated with the water of the Indus River. If the flow of water decreases or data sharing stops, then Pakistan's agricultural economy will suffer a huge blow. Along with this, agriculture, which contributes 22.7 percent of Pakistan's GDP and employs 37.4 percent of its people, will be destroyed.
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