The World Bank has issued a warning to Pakistan's upcoming government, stating that difficult policy decisions must be made to address the country's economic hardships. The bank highlighted issues such as inflation, rising electricity prices, climate shocks, and insufficient public resources. It also emphasized Pakistan's human capital crisis, including high child stunting rates and low learning outcomes.

The World Bank proposed shifting policies towards coordinated and efficient service delivery, prioritized spending on public services and infrastructure, and investments in climate adaptation. Pakistan's average real per capita growth rate between 2000 and 2020 was less than half the average of comparator countries. Additionally, the Pakistani Rupee reached a record low against the US dollar, further exacerbating the economic crisis.

Experts attribute the depreciation to easing import restrictions and shrinking foreign reserves. Pakistan's caretaker government is currently faced with political tension, historically high inflation and interest rates, and the challenge of steering the country through a national election. Meanwhile, Indian Prime Minister Narendra Modi called for a common legal framework to combat terrorism and disruptive forces that operate across jurisdictions. He suggested a universal air-traffic control regime-like regime to address issues such as cyber-terrorism, money laundering, and the misuse of artificial intelligence.

Modi also emphasized the importance of simplifying legal language to ensure justice for all and praised India's impartial and independent judiciary for increasing global trust in the country's leadership. Overall, both Pakistan and India are facing significant economic and legal challenges that require decisive action and collaboration to overcome.