Business

GDP growth likely to remain between 2-3pc: SBP

According to the SBP, the GDP growth rate is expected to be between two to three percent, with the key driver being Pakistan's agriculture sector

GNN Web Desk
Published 8 months ago on May 2nd 2024, 2:12 pm
By Web Desk
GDP growth likely to remain between 2-3pc: SBP

Islamabad: The generation of the Special Investment Facility Council (SIFC) has made major efforts at the policy level to steer the economy of Pakistan on the right track, the fruits of which are coming in the form of improvement in the economy.

According to the recent reports of the Asian Development Bank (ADP), State Bank of Pakistan (SBP) and the Bureau of Statistics Pakistan, Pakistan's economy has been moving in the right direction in the last nine months.

Compared to 2023, the economic situation of Pakistan has been better this year, but the inflation has not really decreased, the main reason for which is said to be poor policies of the past and sudden disasters.

According to the ADP, the stability of the value of the Pakistani rupee against the dollar and the upward trend in the Pakistan Stock Exchange were observed.

According to the SBP, the Gross Domestic Product (GDP) growth rate is expected to be between two to three percent, with the key driver being Pakistan's agriculture sector.

The State Bank of Pakistan also stated that during the fiscal year 2024, the growth rate of the agricultural sector was more than 7% due to the increase in wheat, rice, corn, and cotton crops.

Due to the increase in remittances of Pakistanis abroad, the current account has increased by 619 million dollars. Overall, the current account deficit has decreased by 87.5% to 0.5 billion dollars during the fiscal year 2024 compared to last year.

A narrowing of the current account deficit helped the State Bank to maintain foreign exchange reserves of $8 billion despite a $1 billion Eurobond repayment.