‘JP Morgan asks investors to reap benefit of Pakistan’s improved economy’

JP Morgan — the leading financial company — has asked investors to invest in Pakistan to reap benefits of its improved economic situation, Minister of State for Information and Broadcasting Farrukh Habib said.

In a tweet on Thursday, he said the world’s biggest institution of Investment and Financial services (JP Morgan), in its recent report, had predicted Pakistan’s GDP (Gross Domestic Product) growth at 4.7 per cent for the fiscal year 2021-22.

It also projected the volume of economy to around $329 billion during the next financial year, he added.

The minister said the report predicted a decline in the fiscal deficit from the current 7.1 per cent to 5.9 per cent of the GDP during the next financial year, and added that it would eventually bring down the GDP to debt ratio from 87.6 per cent to 81.6 per cent.

Earlier this week, leading American business magazine Forbes had lauded the government's efforts to tackle pandemic and to stabilise and grow Pakistan's economy, saying that the government has been successful in reviving its economy through prudent policies which is expected to grow at 4%.

Successful management to tackle the pandemic and the success of International Monetary Fund (IMF) programme, as evidenced by the 4% GDP growth, is a testament to Pakistan's growth potential and good investment opportunities, the magazine said.

It said when countries like the United States and India have had difficulties in dealing with the coronavirus pandemic. Pakistan has succeeded in reviving its economy, which is expected to grow at a rate of about 4%, exceeding initial estimates in 2021.

The State Bank of Pakistan (SBP) initially forecast a 3% increase in the GDP, while the IMF and the World Bank forecast an increase of 1.5% and 1.3%, respectively.