Pak’s economic momentum builds in FY25: SCB

KARACHI: Pakistan’s economic outlook has improved since the beginning of the fiscal year 2025, with economic momentum increasing after the elections and the successful completion of the $3 billion International Monetary Fund loan programme, a Standard Chartered Pakistan economist said on Monday.

“Pakistan’s economic outlook has improved since the start of FY25, with economic momentum picking up after the elections and the completion of the $3 billion IMF SBA facility in the first half of the year. In FY24, the economy saw significant improvement in growth, inflation and deficits compared to the crisis in FY23,” said Farooq Pasha, economist at Standard Chartered Pakistan, during an event.

“We expect further stabilization in FY25, with growth projected to rise 3.0 per cent (from 2.4 per cent in FY24) and inflation to ease to 12.5 per cent (from 23.4 per cent in FY24),” Pasha said.

“However, risks to this outlook could arise if there’s a shift away from the current prudent policies, increased political instability, or delays in expected foreign currency inflows,” he added.

Standard Chartered held a market outlook event, ‘Navigating Market Trends & Investment Opportunities’. This was the third session in a series of market outlook events that the bank hosts for its clients throughout the year. The event brought together the bank’s affluent clients, leading economists, and experts from its product partners to discuss the prevailing global and local economic landscape, and share insights on the future of financial markets.

Saadya Riaz, Head, Wealth & Retail Banking, Standard Chartered Pakistan, gave the keynote address stating, “We are committed to providing our Affluent clients with actionable insights into the current economic landscape, enabling them to identify and seize opportunities in today’s markets in light of macro developments.

By offering expert perspectives on key trends such as global monetary policies, local economic developments, we hope to equip our clients with the knowledge necessary to make informed decisions about their wealth portfolios.”