Pakistan: Staff Report for the 2005 Article IV Consultation

Author: International Monetary Fund

Volume/Issue: Volume 2005 Issue 409

Publication date: November 2005

ISBN: 9781451830682

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Topics covered in this book

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Banks and Banking , Exports and Imports , Inflation , Economics- Macroeconomics , Public Finance , Public Policy - Social Services and Welfare , ISCR , CR , U , S , dollar , government , financing , cost , program , grant pledge , current account , Pakistan authorities , financing need , reconstruction cost , monetary policy , SBP staff , Inflation , Oil prices , Global , South Asia

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Summary

This 2005 Article IV Consultation for Pakistan reports that macroeconomic performance continues to be strong, but inflation and external pressures are evident. High growth, including in agriculture, is estimated to have raised disposable incomes. The authorities’ ambitious growth objectives require substantial increases in investment, including from the private sector. Public investment has been increased to ease bottlenecks in transportation, irrigation, and energy. In the short term, macroeconomic policies need to be tightened somewhat to counter inflation and external pressures.