Archive · 2 Jun 2025
Pakistan Faces Water, Economic Crisis Amidst India's Actions
Pakistan's economy is struggling and is under an IMF program with strict rules.
Key dams have low water levels and the Chenab river flow from India has decreased.
This impacts agriculture in Punjab and Sindh.
Pakistan aims to secure external funding but is facing challenges due to India's actions, including potentially restricting funds and seeking Pakistan's return to the FATF grey list, making it difficult for investment.
The IMF has set additional conditions for Pakistan's bailout package, including budget and tax reforms, putting more pressure on the economy.
Pakistan's economic recovery is hampered by an IMF program.
India has reduced water flow in the Chenab river affecting agriculture.
Key dams Mangla and Tarbela face severely reduced water levels.
Pakistan faces a 21% water flow deficit.
The IMF has set new conditions on the bailout package.
- Who
- Pakistan and India.
- What
- Pakistan is facing a water shortage affecting agriculture and economic hardship.
- When
- During the kharif sowing season, and potentially worsening with the monsoon.
- Where
- Pakistan, particularly Punjab and Sindh provinces.
- Why
- Due to reduced water flow from India and economic challenges.
Pakistan
India
Economic Strategy
Pakistan
Requires loans and aid for economic recovery.
India
Should focus on international investments.
- Overall Water Shortage
- 21%
- Key Dams Facing Shortage
- Mangla and Tarbela
- Dam Storage Reduction
- Approximately 50%
- Affected Provinces
- Punjab and Sindh
- River Impacted
- India's Chenab River
- IMF Programme Amount
- $7 billion
- Budget Deadline
- Rs 17.6 trillion