Pakistan is staring at a twin disaster — a deepening economic meltdown and an alarming water shortage. Prime Minister Shehbaz Sharif has admitted allies are tightening financial control, as the country struggles to repay repeated bailouts from the IMF and others. Now, with water levels plunging in the Indus system and key dams like Mangla and Tarbela nearly half-empty, the Kharif crop season is under threat. India’s suspension of the Indus Waters Treaty after the Pahalgam terror attack has only worsened the crisis. Dwindling exports of rice, cotton, and sugar could crush Pakistan’s forex inflows. This report lays out the high-stakes crisis in the making.
