An increase in interest rate shows IMF deal not enough

Pakistan: Pakistan's trade deficit is at an all-time high, its inflation rate is the highest in Asia, and its stock market is among the worst in the world, according to Bloomberg.

This is putting pressure on the government to take steps beyond the recent revival of a $6 billion loan from the International Monetary Fund (IMF).

The central bank boosted the key interest rate by 1.5 percentage points in advance of its review meeting last month, causing the first signals of alarm. Traders are projecting a one-percentage-point increase when the State Bank of Pakistan meets again on December 14, after the central bank vowed "measured and gradual" adjustments.