The Asian Development Bank (ADB) has predicted a decrease in inflationary pressures in the region including Pakistan.
The Asian Development Bank has released its annual Asian Development Outlook report. It anticipates a decrease in inflation in Pakistan in the coming fiscal year, with rates expected to drop from over 25% to as low as 15%. The current fiscal year’s growth rate for Pakistan is projected to remain at 1.9%.
According to the report by the Asian Development Bank, Pakistan’s heavy reliance on global financial institutions and friendly countries for external payments necessitates measures to enhance women’s financial inclusion.
There are hopes for improvement in agricultural production and industrial sectors in Pakistan in the coming fiscal year, although progress has been hampered by rising construction costs and tax increases.
Pakistan’s future fiscal year is estimated to have a growth rate of 2.8%, with the possibility of inflation remaining at a high level of 25%, but it is expected to decrease to 15% in the coming fiscal year, accompanied by stabilization in food prices.
According to the report, under the IMF program, energy prices are expected to remain high due to an increase in energy sector costs, with regional growth estimated to remain at 4.9% due to increased local demand, exports, and tourism in Asian countries.
The report suggests that China’s growth rate could be 4.8%, while India’s growth rate could be 7%. Pakistan’s economy has contracted due to political uncertainty and floods, with inflation exceeding the record of the past five decades last year. Economic recovery could begin this year if reforms are implemented.
https://en.dailypakistan.com.pk/20-Sep-2023/asian-development-bank-forecasts-pakistan-s-gdp-to-recover-modestly-to-1-9pc-in-fy24
