Pakistani-American Businessman Claims Pakistan Can Repay IMF Loan by Legalizing Alcohol

Sajid Tarar, a Pakistani-American businessman, has claimed that Pakistan could pay back the loan owed to the International Monetary Fund (IMF) by simply legalizing and taxing alcohol.

In a clip going viral on X, Tarar asserts that most people in Pakistan drink alcohol and proposes that if it is legalized and taxed, the country would be in a position to repay the loan worth billions of dollars to the IMF.

شراب کو قانونی کر دیں اور اس پر ٹیکس لگائیں کیونکہ پاکستان میں ہر دوسرا بندہ شراب پیتا ہے
اگر شراب پر ٹیکس لگا دیں اور اسے عام کر دیں تو ہم پاکستان کا سارا قرضہ اتار سکتے ہیں
ساجد تارڈ pic.twitter.com/s0KuP3oaB9

— Waqar khan (@Waqarkhan123) July 10, 2025

The claim by the businessman is obviously an exaggeration, and there is no likelihood of alcohol being legalized in the country, but people on social media are having a lot of fun with Tarar’s remarks.

Tarar is the founder of “American Muslims for Trump,” an organization he created to garner support for the Republican leader among Muslims in the United States.

Last year, IMF staff and Pakistani authorities reached a staff-level agreement on a 37-month Extended Fund Facility Arrangement (EFF) of about $7 billion. This was the 24th bailout program that the country has secured from the global lender.

According to the latest available data, Pakistan ranks fourth on the list of countries with the highest outstanding debt with the IMF.