Imran Khan to stay in jail, govt to last 18 months: Fitch report

ISLAMABAD – Fitch, a credit rating organization, anticipates in its report on Pakistan that Imran Khan, the founder of Pakistan Tehreek-e-Insaf (PTI), will remain in custody in the foreseeable future.

Furthermore, Fitch predicts that Pakistan’s present administration, led by the PML-N, will remain stable for the next 18 months.

Fitch also predicts a drop in Pakistan’s inflation rate by the end of the current fiscal year, with the State Bank of Pakistan expected to cut interest rates to 14% by then. The Pakistani government has set lofty economic ambitions in its budget, with the goal of reducing the fiscal deficit from 7.4% to 6.7%.

The Fitch study emphasizes that Pakistan’s difficult economic decisions are paving the path for an IMF program, with external payment pressures posing economic risks and floods and droughts threatening Pakistan’s agriculture.

Regarding Pakistan’s February 8 elections, Fitch reports strong success for independent candidates backed by the imprisoned PTI founder. According to the report, potential protests in Pakistani cities may have an influence on economic activity.

Looking ahead, Fitch forecasts that Imran Khan will remain in custody in the foreseeable future, while Pakistan’s current Muslim League administration will maintain stability over the next 18 months.

Fitch also suggests that the current government will work with the IMF to achieve all economic changes, with a transition to a technocratic government envisaged after the current administration is done.