The Weekend Leader – Pakistan faces the daunting task of 7% to 8% growth to get the economy out of the doldrums

Photo: IANS

Pakistan needs sustainable annual economic growth of around 7-8 percent for the next few years in order to be able to create enough jobs that young people can take up and also reduce poverty.

“But that kind of growth is nowhere in sight,” noted Dawn in a recent report.

While the World Bank has revised its growth forecast for Pakistan from the previous 2 percent to 3.4 percent for the fiscal year 2021-22, this falls far short of expectations.

“The country’s leadership has always focused more on issues that are political than economic. Breakthrough economic policies and reforms were never the government’s goal, ”an analyst told India Narrative.

Pakistani Prime Minister Imran Khan had promised economic growth and job creation when he took office in 2018. But since he took office, macroeconomic indicators have weakened. According to the World Bank, the country’s growth rate in 2018 was 5.8 percent. In 2019 it slowed to just under 1 percent and in 2020 it was 0.5 percent – the country, like most parts of the world, was brutally affected by Covid 19.

Unemployment statistics recently published by the Pakistan Institute of Development Economics (PIDE) showed that 24 percent of people who have at least a bachelor’s degree are without a job. The real number may be higher.

The report said the focus will likely continue to be on exploiting the looming geopolitical situation to obtain licensed and commercial foreign finance to pay our import bills – despite the negative impact slow growth is having on the majority of Pakistanis. who are forced to live below or just above the “poverty line”.

The South Asian region is expected to grow by 7.1 percent this year.

For the period 2021-22, the World Bank is forecasting a growth rate of 8.3 percent for India. While the Maldives, which saw a 33.6 percent decline in 2020, is expected to see a 22.3 percent growth rate in 2021, and Bangladesh is expected to see 5 percent in 2021.-IANS

About Thelma Wilt

Check Also

What the Omicron variant means for the global economy

December 4, 2021 A A BIT MORE than a year after the first success of …

Leave a Reply

Your email address will not be published. Required fields are marked *