News

Pakistan’s economy is coming back on track: SBP

According to a report issued by the State Bank of Pakistan (SBP), Pakistan’s economy started to regain its pre-COVID trajectory during the first quarter (Q1) of the Fiscal Year 2020-21 (FY21). The recovery has been attributed to the timely decisions taken by the Pakistani government and the support measures initiated by SBP.

The increase in economic activities in the agriculture and industrial sector has lead to the upward trajectory of the economy bringing it in line with the trajectory pre-COVID. The report noted that large-scale manufacturing (LSM) gained traction, demand indicators recorded encouraging growth, and all major Kharif crops, except cotton, exceeded their respective production targets. The services sector also showed promising stats.

Within LSM, the growth in the cement and food processing sectors stood out during Q1 FY21 along with the automobile sector. The report states, “There was a corresponding uptick in demand indicators such as cement dispatches (which reached an all-time high), POL and car sales, power generation, consumer financing, and fastmoving consumer goods (FMCG) sales.”

The current account also posted a surplus, largely due to the increased worker’s remittances and a lack of imports to the country, after 21 quarters. The continued policy measures under the Pakistan Remittance Initiative (PRI) paved the way for the increase in workers’ remittances through formal channels. This also led to the improvement in the Foreign Exchange reserves of the country that stood at $19.4 billion at the end of September 2020.

Sponsored
Talha Ikram

Share
Published by
Talha Ikram

Recent Posts

Garena Free Fire India Launch Rumors: What Fans Need to Know

Reports suggest that Garena Free Fire is set to make a much-anticipated return to India.…

3 hours ago

Albania Bans TikTok for One Year: Here’s the Reason!

The Albanian government has announced a ban on the social media platform TikTok for a…

7 hours ago

Google Pixel 9 Pro vs. 8 Pro: Biggest Upgrades Compared

The launch of Google’s latest Pixel lineup brings an exciting chance to compare the new…

9 hours ago

Azad Kashmir to Host Pakistan’s First Women-Centric Software Technology Park

ISLAMABAD: In February next year, Pakistan is set to launch its first women-focused software technology…

10 hours ago

HEC Reveals Law Admission Test Date for LLB Students

The Law Admission Test (LAT) has been announced by the Higher Education Commission (HEC) of…

10 hours ago

Meta’s WhatsApp to Release New Playback Speed Feature for Videos

Meta's WhatsApp is rolling out a new playback speed feature, allowing users to adjust video…

23 hours ago