New IMF report offers glimmer of hope for inflation-stricken Pakistan

WASHINGTON: The International Monetary Fund (IMF) released its latest “World Economic Outlook” report on Tuesday, offering insights into Pakistan’s economic outlook.

According to the report, Pakistan is projected to achieve a modest economic growth rate of 2.5 per cent this year, with a further increase to 3.5 per cent expected next fiscal year.

Inflation is expected to see a notable decline, with the rate anticipated to drop from 24 per cent this year to a range of 12 to nine percent next year. However, the report forecasts a rise in the current account deficit by 1.2 per cent in the following year. 

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On the employment front, positive trends are expected, with the unemployment rate expected to decrease to 7.9 per cent this year and stabilise at 7.4 per cent next year.

The World Economic Outlook is a report compiled by IMF staff that serves as a resource for understanding global economic trends in the “short and medium term”. It offers analyses by IMF economists on various aspects of the global economy, encompassing industrialised nations, developing countries, and economies in transition.

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The report presents both overarching summaries and detailed examinations, focusing on prevailing economic matters. The report relies on supplementary materials such as annexes, boxes, charts, and a thorough statistical appendix to provide additional context, data visualisation, and detailed analysis.

The report is published biannually.