Pakistan, May 19 -- The International Monetary Fund (IMF) has warned that the recent reciprocal tariffs imposed by the US under President Donald Trump will negatively impact Pakistan's exports and economic growth. The IMF's latest report stated that while the full effect remains uncertain, the tariffs will likely reduce Pakistan's GDP growth, with a modest reduction in FY25 and FY26 projections.

On April 2, 2025, the US raised tariffs, including a 29% tariff on Pakistani goods. Although Pakistan's export sector is small, the US is its largest trading partner, and textiles make up the bulk of exports. The IMF also pointed out that other countries like China, India, and Bangladesh are facing similar tariff increases, which could mitigate P...