Moody’s Global Rating Turns Credit Rating Of Pakistan To Negative

Global economic rating agency Moody’s has turned credit rating of Pakistan to negative.

According to the Moody’s report, credit rating of Pakistan has turned negative due to the no-confidence motion against Prime Minister Imran Khan. The no-confidence motion will affect uncertainty and policy continuity in the country, as well as the implementation of reforms for development and the ongoing issues with the IMF.

According to Moody’s, the no-confidence motion will also affect tax reforms, while rising prices in the global market are increasing Pakistan’s current account deficit. Under the current circumstances, Pakistan’s foreign exchange reserves will begin to decline, which may make it difficult for Pakistan to make international payments. For the past few months, Pakistan has been facing a decline in its foreign exchange reserves.

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