Pak govt to struggle to deliver results given growing risks to policy-making: Fitch Solution

January 4, 2019 (MLN): Fitch Solutions Macro Research has maintained Pakistan’s poor short-term political risk index score of 48.3 out of 100, affirms the research house in its latest report on Political Risk Analysis of Pakistan.

While the ruling Party in Pakistan is largely favored by the local masses, Fitch Solutions believes that the government would need to deliver tangible economic improvement if its still-high popularity is to continue through the parliamentary term (2018 – 2023).

The report adds that the government will struggle to deliver results, given growing downside risks to policy-making due to factors including deteriorating foreign relations with the West, among others.

In the international arena Khan found himself facing a difficult situation with the US President, trading barbs on Pakistan’s help, in the fight against extremist groups.

“A strengthening relationship with an increasingly outward looking China has likely emboldened Pakistan, but the government is also wary of overreliance on China, and still depends on the US for military aid as well as looking towards the IMF for a bailout package,” evaluates Fitch.

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