Govt sees growth rate falling to 2pc amid floods

Pakistan on Thursday saw its economic growth rate falling massively to two per cent during the current fiscal year against the budgetary target of 5pc as floods have plunged the country into crisis, particularly in Sindh and Balochistan. The official estimate for a revised GDP growth rate at 2pc is in sharp contrast to the 3.5pc growth rate forecast by the Asian Development Bank (ADB) a day earlier on Wednesday. The State Bank of Pakistan had earlier projected 2.4pc growth rate, while the government had been estimating a 2.2 to 2.3pc growth rate for the current year. As a consequence, Pakistan would need to have “continuous and constant engagement” with the development partners, lenders and donors to meet the financing needs of rehabilitation and reconstruction, including through access to special international financial instruments meant for climate change and green economy, Planning and Develop­ment Secretary Syed Zafar Ali Shah said.