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Thursday, September 18, 2025

Pak seeks international loans amid war losses, stock market crash

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New Delhi: Pakistan’s Ministry of Economic Affairs on Friday appealed to international partners for an urgent financial assistance, citing heavy losses inflicted by the “enemy” in an escalating war scenario, and a crashing stock market.

The Economic Affairs Division of the government posted on X: “The government of Pakistan appeals to international partners for more loans after heavy losses inflicted by the enemy. We urge international partners to help de-escalate.”

The rare public appeal underscores the economic distress the country is facing as it struggles to stabilise its financial system while grappling with security threats and rising geopolitical tensions. The statement did not name the “enemy” or specify the quantum of the losses incurred.

Pakistan’s stock exchange has seen sharp declines in recent sessions, with investor confidence rattled by fears of deepening conflict and potential macroeconomic fallout.

The appeal comes even as Islamabad remains under an existing loan programme with the International Monetary Fund (IMF), and is in talks with other multilateral and bilateral lenders for budgetary support.

There was no immediate response from international financial institutions or foreign governments to the public appeal. Meanwhile, officials in Islamabad have said diplomatic efforts were underway to prevent further escalation and to shore up the economy.

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