Economy to keep the recovery pace same despite Covid-19

The Ministry of Finance stated on Tuesday that the economy would maintain its recovery pace despite the third wave of Covid-19 and it tamed inflationary expectations by forecasting an 8-9.5% inflation reading for April.

“With timely measures taken by the government to tackle the third wave of the pandemic, risks are mitigated, thus better prospects of economic growth are visible,” said the ministry in its monthly Economic Outlook bulletin.

The finance ministry claimed that the third wave of the pandemic was putting pressure on recovery, however, timely decisions are taken by the government, especially the smart lockdown policy was helping “the economy to keep its pace of recovery”.

The ministry’s assessment is largely based on the past performance of agriculture and industrial sectors, as the services sector, which contributes 60% to the total national output, is severely impacted by the fresh restrictions imposed on wholesale, retail, and transport sectors.