Fitch chops growth forecast for Pakistan.

• Position: Fitch Solutions - Brief article

Fitch Solutions, the US-based global research house, has revised down Pakistan's economic growth forecast, believing tightening of monetary and fiscal policies under the International Monetary Fund (IMF) bailout would negatively impact GDP growth.

"We at Fitch Solutions, have revised our forecast for Pakistan's real GDP (gross domestic product) growth for FY2018/19 (July-June) and FY19/20 to come in at 3.2percent and 2.7percent respectively, from 4.4percent and 4.0percent previously (versus the Bloomberg consensus of 3.3percent and 3.5percent)," the global research house said in a report on 'Economic Analysis - IMF deal to weigh on Pakistan's growth in the short run.'

"We believe that the bailout package from the IMF will see tighter monetary and fiscal policies in Pakistan, which will be negative for growth in the near term," it said.

However, investment into the China-Pakistan Economic Corridor (CPEC) will continue to provide some support to the...