Thread on the origin of the current economic crisis. By 2020-21, the current deficit was under control. Had a small, $1.85b CAD in 2020-21. And the bulk of that came in the last month ($1.6 b)
tribune.com.pk/story/2311476/… Then we went down the same route. The govt went for growth without reforms. Imports started rising (as they're bound to since a higher GDP also has a higher import component).

Debt forgiveness would be great but the chances of it happening are limited. Secondly, even if we have our loans written off, we will use the windfall only to have a big consumption binge and run into another balance of payments crisis a decade or two down the road. A smaller version of this actually happened after 911. Pakistan got a pretty decent windfall after joining the WOT but used it on a consumption binge and failed to carry out reforms. Also did not give up its disastrous policy of supporting and nurturing extremist militants.

Reform takes place when powerful constituencies face a compulsion out of realizing that their existing ways can't go on. That hasn't happened in Pakistan. People are still hoping that some simple puncture will do the trick and they can continue. Hence little momentum for reform This is across the board, all the way from GHQ to the feudals and industrialists and those who sit in parliament due to their command of rent seeking networks in constituency politics