Pakistan’s economy has long been trapped in a cycle of financial instability, characterised by a rising debt burden and chronic reliance on short-term rollovers from friendly countries such as China, Saudi Arabia, and the UAE. The anticipated $7 billion IMF Extended Fund Facility — essential to financing a Rs32 trillion borrowing plan — comes with stringent conditions on phasing out SEZ incentives, reducing subsidies, and anti-corruption reform. While these measures aim to stabilise the economy in the short term, critics argue that IMF-mandated fiscal austerity deepens poverty and inequality without addressing the structural roots of the debt crisis. The country must balance its Fund-fueled short-term economic growth plans with long-term sustainable plans to create a debt-free economy.