The World Bank has released the Pakistan Development Update Report.
The World Bank has emphasized on sustainable reforms to overcome the economic crisis in Pakistan. According to the World Bank, Pakistan is facing a slow economic growth rate, high inflation, the economic growth rate of Pakistan in the current financial year is likely to be only 0.4 percent, while inflation will remain at a high level of 29.5 percent until June.
The World Bank says that the cause of inflation is the increase in energy and food prices, the cause of slow economic activity is lack of confidence, the cause of slow economic activity is import restrictions, the destruction of floods.
According to the World Bank report, tight fiscal policy was adopted late, informal exchange rate capping reduced foreign exchange reserves, tight international conditions reduced Pakistan’s access to capital.
The World Bank says that Pakistan is facing delays in completing the IMF program review, Pakistan is facing increasing debt and rapidly decreasing foreign exchange reserves.