World Bank predicts 0.5% growth rate for Pakistan in FY21

Last updated on: 06 January,2021 11:55 pm

World Bank predicts 0.5% growth rate for Pakistan in FY21

ISLAMABAD (Dunya News) - The World Bank has forecast Pakistan’s growth rate at 0.5 per cent for financial year 2020-21.

In its report titled “2021 Global Economic Prospects”, Pakistan’s growth rate could be only 0.5 percent in FY2021 against the government’s target of 2.1 percent.

According to the report, the services sector in Pakistan will be affected and Pakistan s economy could grow at a rate of 1.3% in the next two years. It also observed that the country’s poor will be affected by the low growth rate and they will be the hardest-hit.

According to the World Bank, deferred loans from ‘ countries brought relief to the developing countries but Pakistan needs stable economic policies in the long term.

According to the report, after the pandemic, the global economic growth rate is expected to be 4% while it will be lower in South Asia at around 3.3%. Unemployment is also predicted to increase as a direct result of the coronavirus.