May 24, 2021 (MLN): The current fiscal year 2020-21 growth is expected to rise to 3.94%, as post-Covid recovery underway since last summer has strengthened. The 9-month current account is also in surplus for the 1st time in 17 years and FX reserves at a 4-year high. This rebound was fueled by a well-calibrated policy response.
This statement was made by the State Bank of Pakistan (SBP) on its official twitter handle.
In a thread of tweets, SBP said, “Given high public debt, fiscal support was targeted to the most vulnerable, notably through the globally acclaimed Ehsaas program. At the same time, public debt and deficit were kept under check which has supported market sentiment, investment outlook, and economic recovery.”
SBP provided a targeted economic stimulus of Rs2 trillion to support the recovery through an interest rate cut, principal deferment & loan restructuring, Rozgar payroll finance scheme to prevent layoffs, and concessional finance for investment in industry and health facilities, it added.
