The International Monetary Fund (IMF) has revised Pakistan’s GDP growth forecast for 2025 to 3%, down from the previous estimate of 3.2% in October 2024.
According to the IMF’s “World Economic Outlook Update: Global Growth: Divergent and Uncertain” report, Pakistan’s GDP growth is expected to remain at 4% in 2026.
This projection aligns with that of the Asian Development Bank (ADB), which last month revised Pakistan’s growth forecast for fiscal year 2024-25 to 3%, up from 2.8% projected in September 2024.
The ADB attributed the revised forecast to greater macroeconomic stability, which is expected to support recovery.
It was also noted that a more accommodative monetary policy, due to faster-than-expected easing of inflationary pressures, should further support economic activity, with accelerating industrial output growth.
The IMF’s global growth forecast for 2025 and 2026 is 3.3%, which is below the historical average of 3.7%.
The IMF has projected global inflation to decline to 4.2% in 2025 and 3.5% in 2026.
The report also forecasts a 2.6% decline in energy commodity prices in 2025, while non-fuel commodity prices are expected to increase by 2.5%.
