Middle East & Central Asia News
LAST UPDATE: July 12, 2025
Pakistan: PSDP spending revised to Rs1.05tr
Pakistan’s public sector development spending rose to a record Rs1.05 trillion in FY2024‑25, driven by late external loan releases and central government fund disbursement.
Insight
While the high PSDP commitment may support infrastructure, it also underscores fiscal strain and reliance on last-minute financing, raising concerns about efficiency and governance.
Azerbaijan’s consumer price index falls 0.4% m/m in June
Azerbaijan’s consumer price index declined by 0.4% month-on-month in June 2025.
Insight
The drop suggests easing inflationary pressures, potentially allowing monetary policy flexibility if the trend continues.
Tunisia’s trade deficit widens to $3.4 billion in the first half of 2025
Tunisia’s trade deficit widened to USD 3.4 billion in H1 2025, due to increased imports while exports remained stable or declined.
Insight
The widening gap highlights growing external vulnerability and the need for stronger export growth or import reduction to stabilize the economy.
