Pakistan can triple incomes by 2050 with faster reforms: World Bank

Pakistan could raise incomes to three times current levels by 2050 if it accelerates structural reforms, the World Bank said in its latest Pakistan Development Update. The lender said macroeconomic stabilisation has created scope for stronger growth and job creation, while real GDP growth reached 3.7% in FY26, up from 3.2% in FY25.

The report says reforms bringing policies and institutions closer to the average middle-income-country standard could support annual growth of 6.2-6.9% and take Pakistan to Viet Nam’s current income level by 2050. It points to power tariff adjustments, trade liberalisation and PIA’s privatisation as steps already taken, and calls for further changes to the business environment, tax system, state role and access to finance.