Re: Private sector of Pakistan 'dynamic and resilient': WB
Pakistan to show second highest growth rate in South Asia in 2005
RECORDER REPORT
ISLAMABAD (September 24 2004): Pakistan is expected to show second highest growth rate in South Asia during 2005 after Bhutan, according to the ADB update of Asian Development Outlook (ADO) issued here on Wednesday.
According to the update, Bhutan is expected to register 8 percent GDP growth, the same as indicated in the ADO.
India's GDP growth in the update is brought down to 6 percent from earlier ADO's estimate of 7.6 percent.
Sri Lanka's GDP rate remains at 5.5 percent both in ADO and its update.
Bangladesh's GDP shown in ADO too is expected to fall to 4.8 percent from 6 percent shown in the ADO as also of Nepal from 5 percent to 3.7 percent.
In the case of Pakistan, the update expects GDP growth at 6.5 percent as against 5.8 percent shown in the ADO.
The update said that South Asia sub-region's 2004 growth forecast has been revised down from 7 percent to 6.4 percent, partly because an erratic monsoon season could lower India's agriculture sector growth.
Projected growth for South Asia in 2005 has also been revised down to 5.9 percent. Less favourable weather conditions in 2004, price pressures, mainly in oil and metals, and a less buoyant outlook for global growth in 2005 are behind the downward adjustments.
Economic reforms in Pakistan have strengthened its economy and resulted in an upward revision in its growth forecasts. Inflation predictions for South Asia as a whole have been raised to 5.5 percent for 2004 and 6.5 percent for 2005.
Copyright Business Recorder, 2004