Asian Development Bank forecasts Pakistan's GDP to recover modestly to 1.9pc in FY24

ISLAMABAD – Asian Development Bank (ADB) on Wednesday said Pakistan’s gross domestic product (GDP) is forecast to rise to 1.9pc in FY24, but warns of downside risks to the country’s economic outlook remain exceptionally high.

The leading financial institution in its recent report said the country’s adherence to an economic adjustment program through April 2024 will be critical for restoring stability and the gradual recovery of growth.

It projected Inflation to move down from 29 percent to 25 percent in the ongoing fiscal year as the country’s economic confidence is likely to increase from the general elections in 2023-24.

The reports linked Islamabad's economic prospects with the steadfast and consistent implementation of policy reforms.

The Bank’s Country Director said the surge in global prices and slow economic growth is also a threat to the economy of South Asian country as economic stability depends on sustained policy reforms.

Asian Development Outlook September 2023 Update 

It also mentioned that favorable weather conditions and the government’s relief package of free seeds, subsidised credit, and fertilisers are likely to support a recovery in agriculture.