The International Monetary Fund (IMF) has released the World Economic Outlook Report 2024, which indicates a potential decrease in inflation and unemployment in Pakistan.
According to the IMF’s report, Pakistan’s economic growth rate for the current fiscal year is projected to be 3.2%. Last fiscal year, the growth rate was recorded at 2.4%.
The report states that the average inflation rate in Pakistan this year is expected to be 9.5%, with an annual inflation rate likely to remain at 10.6%, compared to the target of 12%. Last fiscal year, the average inflation rate in Pakistan was 23.4%.
The IMF notes that the unemployment rate in Pakistan is anticipated to decrease to 7.5% this year, down from 8% recorded last fiscal year.
Additionally, the report estimates that the current account deficit for the current fiscal year will be -0.9%, compared to a -0.2% deficit in the previous fiscal year. The global economy is projected to grow at a rate of 3.2% in 2024.
The IMF highlights that the global economy is facing challenges such as conflicts, social tensions, and climate risks. Regional conflicts may impact global efforts to reduce interest rates, and supply disruptions for various commodities, including oil, are also possible.
The report predicts that global inflation will be around 5.8% this year and 4.3% next year, with a decline in commodity inflation but an increase in service costs. Changes in policies are expected in light of upcoming elections in the US and other countries.
