Pakistan Economic growth rate rises in 2015-16: IPR  

Pakistan Economic growth rate rises in 2015-16: IPR  

LAHORE: (APP) Economic growth rate of Pakistan picked up modestly in 2015-16.

This was stated in the annual review of the economy 2015-16, released by the Institute for Policy Reforms (IPR), here on Monday.

The report recognised that some economic indicators have visibly improved. These include the fiscal deficit, inflation, and the current account deficit.

"For the first time in many years, the government achieved and exceeded its FBR tax collection target, which grew by 20%.

"The current expenditure remained within budget. Low mark-up rates increased demand for private credit," the report said.

According to the report, the economy's future prospects depend on much needed policy changes. There are fundamental issues that prevent the economy to achieve sustained economic growth.

It said that economic growth must be based on two pillars: improved long-term fundamentals, and higher level of productivity.

The report was of the view that Foreign Direct Investment (FDI) is low despite inflows from China; however, workers remittance is presently in modest growth.

It further said that industry grew by 3.21%. It is encouraging to see private sector credit increase by 105%, it added.