The Global Economic Prospects has predicted that Pakistan's growth rate will remain at 3.4 percent this year. The country's growth rate will remain at four percent next year.
It noted that, after having recovered in 2021, global economy is headed towards 'pronounced slowdown', because of new Covid-19 variants, increasing inflation, debt and income inequality, reducing fiscal and monetary support and decreasing demand. Report notes that, at this time when governments across many developing economies lack policy space for supporting activity if needed, new Covid-19 outbreaks, inflationary pressure and supply-chain bottlenecks could increase the risk of a hard landing.
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