News update: – 2nd January 2020, according to the recent IMF report of 2019 shows that the last year brought stability to Pakistan’s crisis economy after Prime Minister Imran Khan joined the “latest IMF program”.
The IMF in its recent statement on the Pakistani economy estimated. The Pakistani CAD would drop to 2.4 percent of GDP in the present fiscal year 2020, associated with 4.8 percent of GDP in the previous financial year.
Earlier, the Fund had projected the country’s CAD to 2.6 percent for the year 2019-2020. Though, the IMF had lowered its estimate to 2.4 percent after CAD dropped by about 74 percent in the first quarter of the current fiscal year.
Furthermore, upon completing the first review of Pakistan’s economic performance, the IMF approved that Pakistan’s reform program is on track and started to give expected results, the financial division said in a statement on Sunday while talking to the media.
While the division of the IMF report acknowledges that the business climate has improved and that market confidence is returning, the financial division added. In its assessment, the IMF also adds that the government recognizes that structural reforms. Plus, particularly in the area of social activities are crucial to boosting economic activity and growth. The report also predicting a strong fiscal year ahead.
The report confirmed that the end of September performance criteria (PC) were observed with wide margins. These include: zero balance sheet debt from SBP, the ceiling of the primary budget deficit, ceiling of government guarantees, zero arrears of external public payments, SBP net international reserves (NIR), net domestic assets (NDA) and swap / forward objectives all achieved. In addition to the above, all the structural benchmarks (SB) have been completed by the end of September, except the SB on AML / CFT, the note said.
Additionally, the Pakistan Steel Mill is still in process and working on the proposals presented by different countries and companies. Pakistan’s government is working hard towards its betterment and revival.