Pakistan economy · April 2026

The IMF chief warned that the ongoing conflict in the Middle East means 'all roads' lead to higher global prices and slower economic growth, highlighting the war's broad financial impact. Pakistan International Airlines is cutting operations and ending discounts due to rising jet fuel prices linked to the war on Iran. Pakistan announced it will repay $3.5 billion in matured loan deposits to the UAE, a move described by some reports as a surprise that puts the country under financial strain. Prime Minister Shehbaz Sharif urged a nationwide shift to electric vehicles to cut fuel costs and protect the economy, while authorities ordered shopping malls and markets to close at 8pm nationwide, except in Sindh, to save energy. Pakistan has introduced an AI system to identify fugitives despite changes in their appearance (ongoing coverage).