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Pakistan’s GDP growth to reach 3.5% by 2027: Fitch

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Pakistan’s GDP growth to reach 3.5% by 2027: Fitch


The Fitch Ratings logo is seen at their offices at Canary Wharf financial district in London. — Reuters
  • Pakistani banks see stronger growth opportunities ahead: Fitch.
  • Global rating agency cites improving overall business conditions.
  • Says Pakistan’s recovery follows tough period of crisis.

Global credit rating agency Fitch has forecasted Pakistan’s real GDP growth at 3.5% by 2027, up from 2.5% in 2024, according to Fitch Ratings.

“Pakistan’s improved sovereign credit profile reinforces this view,” Fitch noted, referring to the upgrade of the country’s Long-Term Issuer Default Rating (IDR) to ‘B-‘/Stable from ‘CCC+’ in April 2025. The rating improvement was underpinned by ongoing economic recovery, reforms and improving fiscal performance.

The recovery comes after a particularly turbulent period for Pakistan’s economy. Inflation, which peaked at 38% in May 2023, has since eased to 4.1% in July 2025, with Fitch expecting it to average around 5% for the year.

Meanwhile, monetary policy has shifted in response to easing inflationary pressures. Since May 2024, Pakistan’s central bank has halved the policy rate to 11%, while external stability has improved through reduced currency volatility and current account surpluses.

Fitch anticipates that this combination of lower interest rates and a more stable macroeconomic environment will boost demand for private credit.

“We expect the combination of lower interest rates and an improving macroeconomic environment to stimulate private credit demand,” Fitch said, adding that this should support “steadier loan and deposit growth, and banks’ financial performance.”

The agency noted that Pakistan’s banks are set to benefit from better opportunities to generate business volumes due to improving operating conditions amid receding macroeconomic headwinds.

“Private sector credit, which had dropped to a cyclical low of 9.7% of GDP in 2024, is expected to rebound, reducing banks’ reliance on public-sector lending. Continued economic and fiscal reforms could further support this shift,” the statement read.

However, Fitch also pointed to ongoing risks, stating that Pakistan’s improving, albeit still weak, operating environment and its low sovereign credit rating remain areas of concern.

The agency cautioned that the banks’ intrinsic creditworthiness will remain “closely linked to the sovereign and the pace of economic reform,” due to their significant exposure to sovereign securities and state-linked entities.

Despite past economic turbulence, Pakistani banks have demonstrated resilience. The sector’s impaired loan ratio improved to 7.1% by March 2025, down from 7.6% at the end of 2023, amid strong loan growth of 26%, largely fueled by inflation. 





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Italy rejects proposal to replace Iran at 2026 World Cup: ‘You qualify on pitch’

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Italy rejects proposal to replace Iran at 2026 World Cup: ‘You qualify on pitch’


Italy rejects proposal to replace Iran at 2026 World Cup: ‘You qualify on pitch’

The Italian government has slammed a proposal by a U.S. government official to replace the Iranian team with Italy in the FIFA World Cup 2026. The Italian football team was not able to qualify for the World Cup for the third consecutive tournament, despite being a four-time champion.

Iran’s participation in the mega event is in serious doubt amid the ongoing U.S.-Israel war against Iran. All the group matches of the Persian team are scheduled to take place in the United States.

Iranian officials have requested FIFA to reschedule Iranian matches in Canada or Mexico, the co-hosts for 2026 sporting showpiece.

The Iranian Ministry of Sports and Youth has clarified that all the necessary arrangements have already been made for the team’s effective participation in the tournament.

Despite the assurance, Paolo Zampolli, a U.S. envoy for global relations, presented the idea to replace Iran with Italy, saying, “With four titles, they have the pedigree to justify inclusion.”

Italian Sports Minister Andrea Abodi rejected the proposal, saying, “You qualify on the pitch.” Italian Minister of Economy and Finance Giancarlo Giorgetti also rebuked the suggestion, describing it as “shameful.”

Italian Olympic Committee President Luciano Buonfiglio was the third high-ranking official to say no to the idea, adding, “It’s not possible. In order to go to the World Cup, you have to earn it.”

FIFA responded by reiterating the Infantino’s statement, “The Iranian team is coming here, for sure.” 





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2 critical out of 10 injured in Baton Rouge, shooter at large

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2 critical out of 10 injured in Baton Rouge, shooter at large


Mall of Louisiana shooting: 2 critical out of 10 injured in Baton Rouge, shooter at large

At least 10 people have been hurt in a horrific shooting incident at the Mall of Louisiana. According to the Baton Rouge Police Department, two of the injured are in critical condition.

Police Chief TJ Morse has ruled out any threat to public at this time; however, the shooter remains at large. He added that the incident was not a random act of violence. 

Morse said: “Unfortunately there was some innocent people in the area that might have also caught some rounds.”

The initial investigation reveals that an argument between two groups of people sitting inside the food court escalated to the point that opened fire at each other. 

Arounf six victims were taken to the hospital by emergency services while the others went for medical aid by personal vehicle. Some of the injured were undergoing surgery. 

Officers from the Federal Bureau of Investigation (FBI) were also present at the scene. 

East Baton Rogue Mayor-President Sid Edwards was also present on the scene. He updated that all the civilians were excorted out of the building. He requested public to “keep the victims and their families in your prayers.”

Louisiana Governor Jeff Landry also released a statement, saying, “I am aware of the active shooter schene at the Mall of Louisiana.” He urged public to avoid the area, adding, “Sharon and I are praying for those affected.” 

He also praised the law officials for their quick response to the incident. 

The incident comes just hours after the police arrested a man on his way to Louisiana allegedly with the intent to carry out a mass shooting at a festival in New Orleans. 





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Prince William sparks AI debate in motorsport with ‘weak link’ remark

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Prince William sparks AI debate in motorsport with ‘weak link’ remark


Prince William sparks AI debate in motorsport with ‘weak link’ remark

Prince William took a turn behind the scenes of high-speed innovation this week, visiting the headquarters of Jaguar TCS Racing and putting the spotlight firmly on the future of electric motorsport.

Sharing a clip from his visit on Instagram, the Prince of Wales captioned it: “Going green with Jaguar TCS Racing and Formula E!” a nod to the team’s push toward electrification, sustainability.

William also brought his trademark curiosity to the table, joking with engineers about how far automation in racing could eventually go. 

Speaking during the visit, he quipped: “At what point does the driver become the weak link?” 

Before pushing the thought further: “(At what point do we think) get rid of drivers, we’ll get an AI person in? We’re probably not far off that, are we?”

The Prince also spent time speaking 22-year-old Phoebe Russell, where the conversation turned to careers in motorsport and the barriers still faced by women entering the industry. 

William asked: “Was it easy for you to find your way into this world?” to which Russell replied: “Not at all,” explaining she had early exposure to the sport through family connections.

After the visit, Russell admitted the encounter left her overwhelmed, saying: “Being asked to do a little career talk was very exciting.

The fact that he had so much awareness of the sport and so much interest, and it ties into his whole sustainability project, it was very interesting.”

Before leaving, William signed off with encouragement for the team ahead of their next challenge, telling them: “I’m very excited to see you racing, I’m going to cheer you guys on.”





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