Staff Report
ISLAMABAD: Pakistan’s economy is likely to grow by 2 percent in FY-23 and 3.2 percent in FY-24, according to a World Bank report.
Like other countries, the Pakistani currency also depreciated in the recent months as the country is facing several economic challenges at the moment. Pakistan’s one-third area was affected by the floods last year, putting more pressure on the already bleeding economy.
World Bank on international economy
According to the World Bank, for the third time, global growth will be weak in three decades. The weak trend will overshadow the 2009 and 2020 global recessions, the WB report suggested. Investment growth in emerging markets and developing economies have been predicted to remain below its average rate of the previous two decades.
Any additional adverse shocks could push the international economy into recession, according to the WB. Small countries are especially vulnerable to such shocks because they rely on external trade and financing. They will suffer more because of limited diversification, high debt, or susceptibility to natural disasters.
The WB has recommended immediate policy action to bolster growth and investment, including redirecting existing spending, such as agricultural and fuel subsidies.
