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U.S. US Secretary of State Mike Pompeo warned against a bailout by the International Monetary Fund for the new Pakistani government, which includes providing funds to repay Chinese lenders
. the expected new Prime Minister of the Government of Pakistan, Imran Khan, but said that there was "no justification" for a bailout that repays Chinese loans to Pakistan. "
" Do not get me wrong, we'll watch what the IMF does. "I said." There is no justification for the IMF's tax dollars, and badociated with those US dollars that are part of IMF financing, for those who will bail out the funders. Chinese bonds or China itself. "IMF spokesmen said the international lending agency had still not received any requests for help from Pakistan and that" we have not been able to do so. " it had not had discussions with the Pakistani authorities about Pakistan's financial badistance for their intentions Pakistan has had 14 IMF financing programs since 1980.
Pakistan struggles to avoid a currency crisis that has presented the new government with one of its biggest challenges.Many badysts predict that another IMF bailout, the second in five years, will be needed to fill a deficit
Pakistan, which borrowed approximately 5 million rds of dollars to China and its banks to finance large infrastructure projects another billion dollars of loans to stabilize its foreign exchange reserves plummeting.
Officials, including Treasury Secretary Steven Mnuchin, criticized China's loans to developing countries like Pakistan, saying that they were indebted to them for unsustainable debt.
China-Pakistan Economic Corridor of $ 57 The One Belt One Road infrastructure push led to mbadive imports of Chinese equipment and materials, inflating Pakistan's current account deficit [19659002WesternofficialssayPakistanhasincurredhugedebtstofinanceitsprojects"Weaspiretoaregionalorder-independentnationsthatcandefendtheirpeoplesandcompetefairlyintheinternationalmarket"saidPompeoduringaspeechonIndo-PacificareaonJuly30th
"We will help them, we will help them protect their people against the coercion or domination of the great power," he said.
With reports from the Washington Examiner and Reuters
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