The past year in Pakistan has been a difficult one, as a balance of payments crisis emerged and the government struggled to get its finances under control, the State Bank of Pakistan’s annual economic report says.

Looking back at fiscal 2019 (July 2018–June 2019), the central bank says it raised rates in a bid to tackle the “twin deficits” – current account and government budget – that presaged the crisis. “However, the central bank’s efforts were diluted to some extent, since a corresponding