The State Bank of Pakistan (SBP) has slashed projected GDP growth from the previously announced range of 3 percent for the current fiscal year.
The central bank’s flagship economic health report was released on Wednesday, cited the flood-induced destruction and the stabilization strategy as important contributors to lowering the GDP growth.
In its Annual Report on the State of Pakistan’s Economy, which largely reviewed the previous fiscal year that ended on June 30, 2022, the State Bank of Pakistan (SBP) reported economic growth was stronger than predicted in 2021-22 as real GDP expanded by 6% compared to 5.7pc a year ago.
The research said that large-scale manufacturing (LSM) and agricultural output drove were the core contributors to the development.
The SBP stated tha the economy was stabilizing when widespread floods happened at the start of the current fiscal year,
The reports also state that floods affect the country’s economic activity through numerous channels, fearing that agricultural losses from crop and livestock destruction would spread through backward and forward linkages.
The bank warned that large-scale infrastructure destruction in impacted provinces might also hurt development this year.
 has slashed projected Pakistan's GDP growth from the previously announced range of 3 percent for the current fiscal year.){kind=link}