Most countries in South Asia faced pressure due to a decrease in currency value from July to December.
The United Nations expects Pakistan’s economy to grow by 2% in the coming year due to global improvements in economic opportunities. Despite ongoing economic challenges, Pakistan is expected to see a 2% increase in GDP by 2024.
Pakistan has signed a $3 billion Stand-By Arrangement program with the IMF to stabilize the economy and increase foreign exchange reserves.
Shantanu Mukherjee, representative of the UN Department of Economic and Social Affairs, stated that many countries in South Asia faced pressure due to a decrease in currency value during the second half of 2023. Some currencies saw an increase of around 6.5% against the US dollar, reaching their highest level against 11 currencies.
The report indicates a global economic growth rate expectation of 2.7% for the current year.