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6 Feb 2012

Govt-military stress risk to Pakistan’s governmental stability: Moody’s

ISLAMABAD - Stress between the private govt and military in Pakistan present a risk to political balance, while the presence of a higher debt problem and disappointment contributor assistance further pressure nation's financial circumstances and great vulnerability to occurrence possibility, Moody’s Traders Service said on Wednesday. In its yearly review, Sultry has maintained B3 score for Pakistan, but said the score demonstrated the nation's low economic, institutional and govt monetary skills and its great vulnerability to occurrence possibility. It said the score outlook was constant, although demands on the balance of repayments had re-emerged.
The wide policy structure had not been effective enough to ensure assistance from contributors and lenders, or to effectively contain macroeconomic instability, which have developed since the global monetary trouble in 2008.The review said that the recent damage in Pakistan’s interaction with the US and the end of the IMF program had removed assistance to the external balance of repayments.