GDP growth expected above 5 pct in current fiscal year: Dar

ISLAMABAD: Pakistan and International Monetary Fund have successfully completed annual consultations under Article-IV of the Agreement in Dubai.

Addressing a joint press conference along with IMF Mission Chief Harald Finger on Wednesday, Finance Minister Ishaq Dar said the consultations broadly covered multiple areas of the economy.

The minister said the gross domestic product continued to maintain its growth momentum above four per cent for the third successive year.

He said successful completion of the discussions indicates the government is committed to deepen structural reforms in the areas of energy, monetary, financial and public sector enterprises.

“The government in the current fiscal year is expecting a growth above five per cent, which will be the highest in the last nine years,” said the finance minister.

READ MORE: State Bank expects 5-6 pct GDP growth in current fiscal year

Ishaq Dar said the overall economic environment is backed by an accommodative monetary policy as policy rate at 5.75 per cent is the lowest in last few decades.

He said large scale manufacturing continues to grow at 3.5 per cent with increase in production of cement, steel, pharmaceuticals, automobiles, paper and board and electronics.

The minister said the budget deficit, which stood at 8.2 percent of GDP in fiscal year 2013, has been brought down to 4.6 per cent in financial year 2016.

He said total collection by FBR in first nine months of the current financial year was 2258 billion rupees, which is unprecedented in its history.