Macro conditions remain stable, and M2 growth has been almost the same in FY16 as it was in FY15 (6.5%). Budgetary support also the same as in FY15, but private sector credit growth is higher this year;
Market remains optimistic about the economy:
PKR is stable and external sector is comfortable;
Low inflation and improvement in security conditions (esp. in Karachi);
Rising real estate values wealth effect consumer spending.
Some disappointed we will not have another IMF program (a sad reflection of the level of confidence the market has on our policymakers);
Little media attention on Budget Strategy Paper FY17. More interested in Panama Papers.
