Pakistan's growth rate to contract by 1.5pc in 2020: IMF
The IMF said inflation in Pakistan is likely to remain at 11.1 percent during current fiscal year.
ISLAMABAD (Dunya News) – As the COVID-19 pandemic is inflicting high and rising human costs worldwide, and the necessary protection measures are severely impacting economic activity, International Monetary Fund (IMF) on Tuesday projected a GDP growth of -1.5 percent for Pakistan in 2020.
With this subdued forecast, Pakistan is likely to record its worst growth performance in the history of the country, as the global economy hits the worst recession since the Great Depression in the 1930s due to the raging coronavirus pandemic.
The international lender said Pakistan s economic growth this year will be negative 1.5 percent, which is why unemployment in Pakistan is likely to rise for the next two years.
It further stated that unemployment in Pakistan is likely to reach 4.5 percent this year and 5.1 percent next year. The unemployment rate in Pakistan during the last fiscal year was 4.1 percent.
The IMF further maintained that inflation in Pakistan is likely to remain at 11.1 percent during the current fiscal year, while inflation will reduce to 8 percent in the next fiscal year.