What significant financial challenge does Pakistan face in the fiscal year 2025, according to Fitch Ratings?

Explanation

– Fitch Ratings highlighted that Pakistan faces over $22 billion in external debt repayments during the fiscal year 2025.
– This scale of repayment obligations places significant pressure on Pakistan’s foreign exchange reserves and financing needs.
– Fitch and other credit rating agencies closely monitor Pakistan’s debt servicing capacity as part of their sovereign credit assessments.
– Meeting these obligations typically requires a mix of IMF support, rollovers from bilateral creditors, and new external financing.