World Bank revises Pakistan's growth rate upward
World Bank has revised Pakistan's growth rate upward to 5.2 per cent for fiscal year 2017 and 5.5 per cent for 2018.
The bank previously estimated growth in Gross Domestic Product (GDP) of Pakistan 5 per cent and 5.4 per cent respectively, a private news channel reported.
The report “Global Economic Prospects; weak investment in uncertain times”, states that the uptake in activity was spurred by a combination of low commodity prices, rising infrastructure spending, and reforms that lifted domestic demand and improved the business climate.
In Pakistan, growth is forecast to accelerate from 5.5 per cent in fiscal year 2018 to 5.8 per cent a year in fiscal year 2019-20, reflecting improvements in agriculture, infrastructure, energy, and external demand.
The report further mentioned the successful conclusion of Special Drawing Rights (SDR) 4.393 billion International Monetary Fund's Extended Fund Facility (EFF) programme, aimed at supporting reforms and reducing fiscal and external sector vulnerabilities, lifted consumer and investor confidence.
The China-Pakistan Economic Corridor (CPEC) project will increase investment in the medium-term, and alleviate transportation bottlenecks and electricity shortages.