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The ousting of Pakistan?s prime minister by the country?s top court dramatically raises the risk profile for investors and businesses in the tumultuous, but fast-growing South Asian economy, Bloomberg reported.

A graft probe that led to Nawaz Sharif?s disqualification from holding public office, prompting his resignation, poses big challenges to the country?s credit profile according to Bloomberg.

?Political strife constrains Pakistan?s credit profile,? Moody?s Investors Service said in an email to Bloomberg, adding the removal of Sharif will ?detract from policy-making in economic and fiscal matters? and reduce ?the effectiveness of government policy in general.?

The political developments are unlikely to significantly alter nuclear-armed Pakistan?s already-fraught relationship with India. At the same time, they are not expected to dent ally China?s planned infrastructure investments in Pakistan totalling around $50 billion. Still, investors viewed the removal of Sharif as a near-term negative, which makes Pakistan an even more precarious place to invest, Bloomberg said in a report.

The ?development breeds political uncertainty and only adds to the reasons we haven?t liked the Pakistan story,? said Edwin Gutierrez, the London-based head of emerging-market sovereign debt at Aberdeen Asset Management Plc. ? The deteriorating balance of payments is one of our bigger concerns. There?s already been fiscal slippage? after the end of an International Monetary Fund reform program last year.

The benchmark KSE100 Index plunged as much as 3.6 percent before paring losses, while yields on Pakistan?s dollar bonds rose.