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Wednesday, October 28, 1998 Published at 12:34 GMT


World: South Asia

Pakistan in financial crisis


The Minister for Water and Power in Pakistan, Gohar Ayub Khan, has said he's confident that the government's differences with the International Monetary Fund and the World Bank can be resolved.

Pakistan badly needs further international loans to pay off debts, but the World Bank is threatening to stop the allocation of new money unless earlier loans are repaid.

The BBC Islamabad correspondent says Pakistan will probably have to agree to make further economic reforms if it's to avoid being perceived as financially unreliable.

From the newsroom of the BBC World Service



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