ISLAMABAD – The International Monetary Fund has forecast Pakistan’seconomic growth to lessen further to 2 percent during the current year,down to the previous estimate of 3.5 percent, in wake of the massive floodsand slowdown in global growth rate.
According to the World Economic Outlook (WEO) report issued by the globallender, the GDP growth rate of the cash-strapped country would rebound inthe next FY above 4 percent.
IMF project report comes as the fund’s mission is in Pakistan for talksabout the revival of stalled loan programme.
The report forecasts a dip in global growth from an estimated 3.4pc in 2022to 2.9pc in 2023, suggesting it will rise to 3.1pc in 2024. It mentionedthe rapid spread of Covid in China which affected growth across the globeand further mentioned global inflation to fall from 8.8pc in 2022 to 6.6pcin 2023 and 4.3pc in 2024.
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Last month, World Bank also downgraded the outlook for Pakistan’s economicgrowth by half for the current fiscal year in wake of the dilapidatingeconomy.
WB’s latest forecast suggests the real Gross Domestic Product (GDP) of cashstrapped country is likely to grow at 2.0 percent in FY23 as global growthis also expected to slow amid soaring inflation, rising interest rates, andthe Russia-Ukraine war.
