The premiership of Imran Khan began on 18 August 2018, after his Pakistan Tehreek-e-Insaf (PTI) party secured a victory in the 2018 Pakistani general election. In his inaugural speeches, Khan articulated his vision of building Pakistan on the principles of the Islamic State of Medina. His cabinet included former Musharraf-era ministers and former members of the Pakistan People's Party.
During his tenure, Khan's government launched major infrastructure and social programs, such as the Sehat Sahulat Program for free healthcare, and initiatives aimed at improving minority rights and promoting renewable energy. The Kartarpur Corridor, which allowed visa-free access for Indian Sikh pilgrims to Gurdwara Darbar Sahib, was a notable achievement. Environmental sustainability was also prioritized, with programs like the 10 Billion Tree Tsunami. However, Khan's leadership faced significant criticisms, particularly regarding a decline in press freedom in Pakistan, as multiple organizations accused his government of suppressing media outlets. Khan led accountability efforts, led by the National Accountability Bureau (NAB), though they were criticized for being politically motivated and targeting opposition leaders.
Khan's leadership faced substantial challenges during the COVID-19 pandemic in Pakistan. His government initially resisted implementing a nationwide lockdown, instead opting for a "smart lockdown" approach, which faced criticism as infections surged and Pakistan's health system became overwhelmed. To counter the economic impact of the pandemic, Khan's government rolled out a welfare program targeting the country's poorest citizens. Despite the government's efforts, the pandemic contributed to a major economic downturn. However, by late 2020, Pakistan's economy began showing signs of recovery, although issues such as inflation, food security, and national debt remained pressing concerns. Khan's administration also sought international financial support, securing a $6 billion bailout from the IMF. While inflation and slow economic growth persisted for much of his tenure, GDP growth accelerated to 5.97% in his final year in office.
Khan's foreign policy focused on promoting nationalistic and independent stances, particularly on issues like Pakistan's role in the war on terror, the Kashmir dispute with India, and strengthening regional relations, especially with Gulf Cooperation Council states. Khan's government was also vocal on global matters such as Islamophobia and Palestinian statehood. His tenure was marked by a controversial visit to Russia just before the Russian invasion of Ukraine in 2022. Furthermore, Khan's administration worked to meet international standards, particularly by enhancing Pakistan's anti–money laundering laws and addressing issues related to the FATF grey list. By 2021, Pakistan had largely complied with the FATF's requirements.
Khan was ousted on 10 April 2022, becoming the first Pakistani Prime Minister to be removed by a no-confidence vote. Despite Khan's allegations of foreign interference, particularly from the US, the National Security Council found no evidence of a conspiracy. His removal sparked protests, and he later moderated his stance on US relations, seeking to repair ties in November 2022.
Background Before entering politics, Khan was a cricketer who led Pakistan to its first and only Cricket World Cup victory in 1992. Following his retirement, he turned to philanthropy and founded the Shaukat Khanum Memorial Cancer Hospital, a charitable institution inspired by his mother's battle with cancer. In 1996, Khan launched the Pakistan Tehreek-e-Insaf party. His party did not have much of a success in 1997 Pakistani general election and 2002 Pakistani general election. He boycotted 2008 Pakistani general election. His party emerged as the second largest party by popular vote in the 2013 Pakistani general election. PTI also gained a stronghold in Khyber Pakhtunkhwa, where it formed a government.
First 100 days
In May 2018, Khan's party announced a 100 day agenda for a possible future government. The agenda included reforms in almost all areas of government including creation of a new province in Southern Punjab, fast tracking of merger of Federally Administered Tribal Areas into Khyber Pakhtunkhwa, betterment of law and order situation in Karachi, and betterment of relations with Baloch political leaders. Similar measures were announced in his inaugural speech. In addition to the measures announced in 100 day agenda, Khan announced austerity measures where he vowed to reduce the staff and number of luxury vehicles of prime minister house to two employees and two vehicles respectively from current number of hundreds.
On 17 August 2018, Khan secured 176 votes and became the 22nd Prime Minister of Pakistan and took the oath of office on 18 August 2018. In his celebration speech before swearing in and the inaugural speech after swearing-in he mentioned that he will build and run Pakistan on principles of first Islamic state of Medina. Khan ordered top-level reshuffling in the country's bureaucracy, including the appointment of Sohail Mahmood as Foreign Secretary, Rizwan Ahmed as Maritime Secretary, and Naveed Kamran Baloch as Finance Secretary. His first major appointment in the Pakistan Army was that of Lieutenant General Asim Munir to the key slot of Director-General of Inter-Services Intelligence.
Khan was sworn in as the Prime Minister of Pakistan on 18 August 2018 at the Aiwan-e-Sadr in Islamabad. He initially kept the Ministry of Interior portfolio to himself. However, he later appointed Ijaz Ahmed Shah as interior minister. His cabinet consisted of sixteen ministers and five advisors, with many appointees having served during the Musharraf era, though some were defectors from the left-wing People's Party. In 2019, Khan reshuffled the ministries of interior, finance, information and planning.
After the assassination of Saudi journalist Jamal Khashoggi, Khan stated that Pakistan must prioritise good relations with Saudi Arabia in light of the prevailing economic crisis. He also added that U.S. sanctions against Iran are affecting neighboring Pakistan, stating "The last thing the Muslim World needs is another conflict. The Trump administration is moving towards that direction." (updated 8 November 2018). Khan prioritised close ties with China, saying he "did not know" much about concentration camps for China's Muslims, though Khan confirmed he had raised the matter "privately" in discussions with China.
Economy
Economy before, during, and after Imran Khan's tenure (IMF data). Year GDP (Billion US$ nominal) GDP per capita (US$ nominal) GDP growth (Real) Inflation rate (Percent) Tenure 2017339.21,653.44.6%4.1% Nawaz Sharif government (Jan–Jul) Abbasi government (Aug–Dec) 2018356.21,698.06.1%3.9% Abbasi government (Jan–May)Imran Khan government (Aug–Dec) 2019321.11,500.73.1%6.7%Imran Khan government 2020300.41,376.5-0.9%10.7% 2021348.51,565.65.8%8.9% 2022374.71,650.76.2%12.1% 2023338.21,460.7-0.2%29.2% First Shehbaz Sharif government
Khan inherited a twin balance of payments and debt crisis with large current account and fiscal deficits in 2018, as well as public debt of Rs30 trillion. Its servicing compelled the government to take additional loans, including $24 billion for the repayment and servicing of past loans. His government sought to stabilise the economy through austerity measures, structural reforms, and a $6 billion bailout package from the International Monetary Fund (IMF). These measures included slashing subsidies, devaluing the rupee, and setting ambitious tax revenue targets. The Financial Times characterised these measures as a departure from his election promise to establish an Islamic welfare state. Khan's government increased gas and electricity tariffs and imposed new taxes.
According to the World Bank's Ease of Doing Business 2020 report, released in October 2019, Pakistan implemented six regulatory reforms, improving its ranking from 136 to 108 on the ease of doing business index. This 28-place improvement placed Pakistan among the top 10 most improved countries globally and recognised it as the top reformer in South Asia for enhancing its business environment. However, the report identified areas needing improvement, such as enforcing contracts, where Pakistan ranked 156, and getting credit, where its ranking dropped by seven spots to 119. Additionally, delays in implementing critical reforms by the State Bank of Pakistan and the Ministry of Finance hindered further progress. In 2019, Pakistan's Federal Board of Revenue reported a 17% increase in tax revenue during the first seven months of the fiscal year. In the same year, the country's debt increased by Rs7.7 trillion, of which exchange rate depreciation contributed Rs3.1 trillion. The government increased duties and taxes to cut down the import bill, which, along with record-high remittances, helped narrow the current account deficit to 1.1% of GDP in FY20.
By 2020, Pakistan recorded record-high remittances of $23.1 billion during the fiscal year 2019-2020, driven by factors such as overseas Pakistanis transferring funds they could not send earlier due to COVID-19 restrictions. In January 2020, Khan's government implemented the second phase of the China–Pakistan Free Trade Agreement (FTA-II), which included zero or reduced tariffs on 313 tariff lines for Pakistani exports such as textiles, leather, and surgical instruments. The Federal Board of Revenue collected 10.4% more taxes and duties till April 2020 compared to the previous year. However, in April 2020, the board collected Rs256.6 billion, which was lower than the Rs296.567 billion collected in the same month of the previous year.
In June 2020, Bloomberg reported that Khan saw his "influence and popularity dwindle due to a slowing economy, high consumer prices and corruption investigations involving his close aides." The article also stated that the army's direct influence in civilian government continued to increase as it began "taking a more active role" in policy making, with military officials appointed in government posts.
The budget deficit remained at Rs440 billion, or 0.9% of GDP, during the first two months of FY21, almost 12% lower than the same period of the previous fiscal year. The improvement came largely because of a nearly 70% increase in non-tax revenue, driven by higher petroleum levy rates, while tax revenue grew only 1.8% to Rs587 billion. Exports contracted by 16.6% to $3.4 billion during July–August. Tax collection exceeded the target in the first quarter of FY21, as Pakistan's tax agency, the Federal Board of Revenue (FBR), collected nearly Rs1 trillion, the first time it crossed that level in the first quarter. However, the monthly tax target was missed for the second successive month, income tax collection fell short of its quarterly target, the 4.1% growth rate was insufficient to achieve the annual target, and tax return filings by the statutory deadline were 28% lower than the previous year. Najam Sethi in August 2020 said the CAD had "been curtailed mainly because a stiff devaluation has made consumer and industrial imports prohibitively expensive and led to falling demand, made worse by a falling economy which has plummeted from GDP growth of 5.5% in 2018 to minus 0.4% in 2020. Therefore the reduction of the CAD reflects bad economic policy. It's nothing to boast about." The Express Tribune reported in September 2020 that the government struggled to translate gains into public betterment amid economic challenges like high inflation, stagnant exports, and resource mobilisation.