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Pakistan Seeks Emergency Loans, International Mediation Amid War Losses and Market Crash Amid Indo-Pak Tensions 

Ananya Pattnaik by Ananya Pattnaik
May 9, 2025
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In a rare public appeal, Pakistan’s Ministry of Economic Affairs has called on international partners for immediate financial assistance and diplomatic intervention amid the ongoing military escalation with India.


Posting from its official X (formerly Twitter) handle, the Economic Affairs Division stated, “Govt of Pakistan appeals to International Partners for more loans after heavy losses inflicted by enemy. Amid escalating war and stocks crash, we urge international partners to help de-escalate.”

The appeal comes in the wake of substantial military losses reported by Pakistani forces following Indian retaliatory strikes on terror infrastructure and air defence systems, including a direct drone assault on Lahore. The Ministry’s statement also follows a sharp plunge in the Pakistan Stock Exchange, which saw trading briefly halted after a record single-day fall.

Pakistan’s public call for foreign loans highlights the country’s fragile economic state, which has been under severe strain even before the conflict, due to high external debt, a depreciating currency, and inflationary pressures.

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