Bangladesh is seeking a bailout from the International Monetary Fund; Pakistan is expected to receive its own $1.2 billion rescue deal soon. Neither wants to end up another Sri Lanka. The island nation was pulled into a vortex of empty dollar coffers, popular anger over shortages of food, fuel and medicines, political chaos and a still-deepening economic funk.
Among South Asia’s major economies, only India remains standing. But the region’s largest economy is also wobbling a bit.
Even after depleting 11% of its foreign-currency arsenal, the Reserve Bank of India has only managed to keep the rupee near an all-time-low of about 80 to the dollar. Should New Delhi start filling up an IMF loan application? Not so fast.