Pakistan is unlikely to achieve its economic growth target for the current fiscal year, with GDP growth expected to remain at 3.70% against the government’s target of 4.2%.
According to documents, the size of the national economy has recorded a historic increase of $43.9 billion, rising to more than $452 billion.
The National Accounts Committee has approved interim economic figures, sources said.
The government’s economic performance report has been released ahead of the new federal budget, showing that growth remained below the official target despite improvement in the overall size of the economy.
Growth remains below target
The government had set the economic growth target at 4.2% for the current fiscal year. However, documents show that growth is now likely to remain at 3.70%, meaning the government will not be able to meet its annual growth target.
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According to the documents, Pakistan’s economy recorded a major increase of $43.9 billion during the current fiscal year.
With this rise, the size of the country’s economy has increased to over $452 billion.
Quarterly GDP performance
Economic growth was recorded at 3.92% in the first quarter of the current fiscal year. The pace of growth improved to 4.05% in the second quarter, while GDP growth stood at 3.99% in the third quarter.
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The agriculture sector is estimated to grow by 2.89% during the current fiscal year. This shows moderate expansion in the farm sector compared with the overall GDP growth rate.
Industrial sector likely to grow by 3.51%
The industrial sector is expected to improve by 3.51%, according to the National Accounts Committee. The figure reflects recovery in industrial activity, though it remains below the services sector’s performance.
The services sector is expected to deliver the strongest performance among major sectors. According to the document, services sector growth is likely to remain at 4.09% during the current fiscal year.
