World Bank predicts Pakistan’s GDP growth at 2.8% for FY 2024-25

The World Bank has revised its forecast for Pakistan’s GDP growth for the fiscal year 2024-25 to 2.8% marking a notable improvement of 0.5% from its previous estimate of 2.3% in June 2024.

This prediction, however, lags behind the International Monetary Fund’s (IMF) growth projection of 3%, and is also lower than the government’s target of 3.6%.

According to the World Bank’s World Economic Prospects Report 2025, Pakistan’s growth remains relatively subdued compared to regional neighbors.

India is expected to lead the South Asian region with a growth rate of 6.7%, followed by Bhutan at 7.2%, Maldives at 4.7%, Nepal at 5.1%, Bangladesh at 4.1%, and Sri Lanka at 3.5%.

The report indicates that while Pakistan’s economy shows slight recovery, it faces significant challenges. Inflation, which had reached double digits in previous years, has dropped to single digits for the first time since 2021, bolstering the country’s foreign exchange reserves.