The president dissolved parliament on outgoing PM Shehbaz Sharif’s advice on Wednesday, setting the stage for a national election amid political and economic crises.
The outgoing finance minister, Ishaq Dar, had strongly favoured intervention in currency markets. However, in his last stint in the role, Dar negotiated a $3 billion standby agreement with the International Monetary Fund (IMF), calling the country to commit fully to a market determined exchange rate, remove controls and eliminate multiple exchange rate practices in different markets.
On Monday, Anwaar-ul-Haq Kakar, a little-known politician who is believed to be close to the military, was sworn in as Pakistan’s caretaker PM. He will name a cabinet and head a government until a new administration is elected, and he will have extra powers to make policy decisions on economic matters.