Pakistan has succeeded in reviving its economy, which is expected to grow by nearly 4% in 2021 despite tough challenges posed by the COVID-19 pandemic that has left big economies of the world struggling to survive.
The appreciation comes from America-based leading business magazine Forbes which has published a report on how Pakistan managed to boost its economy amid the pandemic that forced countries to impose restriction on business activities.
“Even giants like the United States and India have had difficulty dealing with the coronavirus pandemic. Donald Trump, Dwayne Johnson, and Ellen DeGeneres have all been affected by this virus. In this situation, Pakistan has succeeded in reviving its economy, which is expected to grow by nearly 4% in 2021, exceeding initial projections,” read the report.
It says that the services sector, which is forecasted to grow by 4.43% in 2020-2021, is responsible for the majority of the growth. This is certainly remarkable for a country like Pakistan which is becoming successful in expanding its services sector. The agricultural sector’s predicted growth is 2.77%, while that of the industrial sector is 3.57%, it adds.
The report quoted Governor State Bank of Pakistan (SBP), Reza Baqir as having said that the accommodative monetary and fiscal policy led Pakistan to achieve unexpected growth in the GDP.
He further said that effective measures taken by the government to slow the spread of the virus also helped Pakistan in the economic revival.
On May 26, the Pakistan Stock Exchange (PSX) broke all previous records as trading volumes surged to a historic 1.56 billion shares.
The benchmark KSE-100 index witnessed an increase of 511.65 points climbing to 46,812.31 as bulls overpowered bears in today’s session.
The development comes as the government projected the country’s growth rate at 3.94% that is around double then the projections of the World Bank and the International Monetary Fund (IMF), and promised to announce a growth-oriented budget for the upcoming fiscal year.
Talking about country’s measures to slow the spread of virus and shedding light on vaccination drive, the report concludes as, “The successful management of the coronavirus pandemic and the success of the IMF program, as evident by the growth in GDP to 4%, demonstrates Pakistan’s ability to grow and serve as a good investment opportunity”.