The World Bank is critically looking at Pakistan’s economy. The bank analyzed growth in the economy of just 0.5% in the current fiscal year.
It’s with no doubt that Pakistan has almost always witnessed low economic growth. But this year’s pandemic has created a panic on economic levels.
According to a report, a downfall of 7.7% is expected from Pakistan’s economy. However, it’s also suspected that the next year could see a rise of 4.5%.
But, the rising growth in population is also against the country’s economy. Reports suggest that the suspected rise of 4.5% in 2021 would not be able to improve the income-per-capita.
In a recent conference, the World Bank said;
The news is not good and the outlook is dire for South Asia,
The GDP tells only part of the story as the informal sector is hit more than its proportion,
Economic activity contracted and poverty is expected to have risen in FY2019-20, as monetary and fiscal policy tightening, earlier in the year, was followed by lockdown,Hans Timmer, Chief Economist for South Asia region, World Bank