Islamabad: The International Monetary Fund (IMF) has sustained its forecast for Pakistan's economic growth, projecting a Gross Domestic Product (GDP) increase of 3.5 percent for the fiscal year 2025. This projection remains unchanged from previous estimates and marks a significant rebound from the 2 percent growth expected in 2024.

According to Zameen.Com, "World Economic Outlook (WEO) update: The Global Economy in a Sticky Spot," released on July 17, the global financial institution reaffirms its April forecast for Pakistan. While the IMF anticipates a modest global growth rate of 3.2 percent in 2024 and 3.3 percent in 2025, Pakistan's forecast surpasses the World Bank's more conservative estimate of 2.3 percent for the same period. This divergence underscores the varied expectations between international bodies regarding Pakistan’s economic trajectory.

The IMF report elaborates on the challenges facing the global economy, including persistent services price inflation that obstructs the disinflation process and complicates monetary policy normalization. Highlighting the risks of sustained higher inflation, the IMF advises countries to adopt a well-sequenced policy approach to maintain economic stability and buffer against potential downturns. The report also notes a strengthening in global economic activity and trade at the year's outset, particularly driven by vigorous export performance in Asia's technology sector.