According to the Asian Development Bank (ADB), Pakistan is the second most expensive country in South Asia.
The Asian Development Outlook 2022 Supplement report from the ADB made a prediction that Pakistan’s inflation rate will continue to be high in the months ahead and that the value of the rupee could depreciate even more.
The economic growth in South Asia has slowed down as a result of floods, and the floods in Pakistan and Bangladesh have also impacted growth, according to the forecast, which also predicts that energy prices in Pakistan would likely increase.
A tight monetary policy, high inflation, and an unfavorable global environment are projected to slow real GDP growth, according to the ADB in a regular supplement to the Asian Development Outlook (ADO) 2022.
#ADBNews: Monetary policy tightening by central banks, the Russian invasion of Ukraine, and recurring lockdowns in the PRC are slowing down economic recovery in Developing Asia and the Pacific.
Find out more in ADB’s #ADO2022 supplement: https://t.co/u9eCooQH4s pic.twitter.com/UNz3tNqzwh
— Asian Development Bank (@ADB_HQ) December 14, 2022
The floods, according to the research, have severely harmed agriculture, particularly wheat and livestock, and have negatively impacted Pakistan’s economy.
According to the most current December assessment from the ADB, inflation in South Asia, which includes Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka, would rise from 8.1 percent in September to 8.2 percent.