ISLAMABAD: International Monetary Fund (IMF) said that Pakistan's economic growth rate for ongoing fiscal year is projected to reach 3.5 percent.

IMF'supdated global economic outlook report states that government has set an economic growth target of 3.6 percent in new budget. Last fiscal year, Pakistan's economic growth rate reached 2 percent. According to IMF, global economy is expected to grow at rate of 3.3 per cent this year.Meanwhile, India's GDP growth for this year is projected to reach 6.5 percent, while China's GDP growth is expected to be 4.5 percent. Global inflation and interest rates are anticipated to remain high. IMF also forecasted rise in global commodity prices and suggests that interest rate cuts are likely in second half of year. Meanwhile, report highlighted external, financial, and economic risks to global economy, with energy and food prices expected to gradually return to pre-coronavirus levels.

Few days back, IMF had intensified its demands on Pakistan to 'do more' and enhance transparency within government institutions as part of negotiations for new bailout package.  Despite Pakistan fulfilling its strict conditions in new budget, IMF still demands it to 'do more'. IMF's stringent conditions include pushing for 45 percent tax on agricultural income and abolishing exemptions for livestock sector, sources revealed. Despite Pakistan's efforts to privatise profitable state-owned enterprises, challenges have arisen in selling shares to Gulf countries due to IMF objections against government-level sales. According to sources, IMF has raised concerns about exemptions under Privatisation Commission Ordinance, PPRA laws and SOEs law in sale of shares.