- July 9, 2026
- Posted by: Tresmark
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The International Monetary Fund (IMF) has projected Pakistan's economy to grow by 3.5% in fiscal year 2026-27 (FY27), 0.5 percentage points below the government's 4% growth target.
In its latest World Economic Outlook (WEO) Update, released on Wednesday, the IMF also retained its 3.6% GDP growth forecast for FY2025-26, leaving its projections for Pakistan unchanged from those published in the April 2026 edition of the report.
According to the IMF, Pakistan's economy expanded by 3.2% in 2025, is expected to grow 3.6% in 2026, before easing slightly to 3.5% in 2027.
On the global front, the IMF projected world economic growth of 3.0% in 2026 and 3.4% in 2027, broadly unchanged from its April outlook.
The Fund said the global growth outlook remains uneven, as ongoing geopolitical tensions continue to weigh on energy-importing and vulnerable economies, while increasing demand driven by artificial intelligence is benefiting countries integrated into the global technology supply chain.
The IMF also noted that global disinflation has stalled. While risks are more balanced than in its April assessment, downside risks persist due to the potential for renewed geopolitical conflicts and financial market repricing.
The report urged policymakers to safeguard price stability, rebuild fiscal buffers, and enhance economic resilience to navigate an increasingly uncertain global environment.
