Islamabad: The Asian Development Bank (ADB) has recommended that Pakistan should tighten its monetary policy and let the Pakistani Rupee depreciate further, according to a news report. Pakistan has been seeing an upward trends in its economic growth for past several years. However, this year the expected growth has been estimated at 5.1% and the ADB recommendations are in this light.
Because of the expanding current account deficit, securing adequate financing to contain the drawdown in foreign exchange reserves is a concern, according to the ADB report, Asian Development Outlook (ADO) 2018. The ADB’s findings are different from that of the government’s which expects less external pressurisation because of China-Pakistan Economic Corridor’s (CPEC) energy and infrastructure projects.
