A. A decline in foreign direct investment
B. Over $22 billion in external debt repayments
C. A decrease in remittances
D. A budget deficit exceeding $10 billion
Answer
Correct Answer: B. Over $22 billion in external debt repayments
Detail About MCQs
According to Fitch Ratings, Pakistan’s significant financial challenge in the fiscal year 2025 is securing sufficient external financing.
- Pakistan needs to repay over $22 billion in external debt, including $13 billion in bilateral deposits, in FY25.
- Fitch expects bilateral partners to renew these reserves, but external liquidity remains a concern.
- Pakistan’s ability to continue structural reforms will be a key factor in its credit outlook.
- The success of these reforms will be important for maintaining access to financing from the International Monetary Fund (IMF) and other lenders.