With the government’s timely and appropriate economic policies, the economy of the Country is moving upward and on track to achieve the growth target for Fiscal Year (FY) 2022.
The performance is evident by the latest key economic indicators;
— LSM (July-September FY 22) ↑ by 5.15% (4.53% last year).
- Total Oil Sales (July-October FY 2022) ↑ by 22.0 % to 7.8 million tons (last year 6.4 million tons).
- Total Car Production (July-October FY 2022) ↑ by 74.7% to 68452 (last year 39175).
- Production of tractors (July-October FY 2022) ↑ 14.0% to 17427 (last year 15285)
- Production of truck & buses (July-October FY 2022) ↑ 74.6% to 2116 (last year 1212).
— Exports (July-October FY 2022) ↑ by 32.2% to $ 9.7 billion ($ 7.3 billion last year).
— Remittances (July-October FY 2022) ↑ by 11.9% to $ 10.6 billion ($9.4 billion last year).
— FBR Tax Collection (July-November FY 2022) ↑ by 36.6% to Rs 2315 billion (Rs 1695 billion last year).
— Fiscal deficit (July-September FY 2022) reduced to 0.8% of GDP
— (1.1% of GDP last year).
— PSDP authorization ↑ by 250% to Rs 392.7 billion (as on 03-09-2021), (Rs 112.0 bn last year).
— Credit to Private Sector (1st July-22nd October 2021), recorded at Rs 226.5 billion (Rs -96.5 billion last year).
— Agriculture Credit Disbursement (July-October FY 2022), ↑ by 6.5 % to Rs 381.3 billion (Rs 358.0 billion last year)
— Bumper crops:
— Cotton 9.4 million bales (last year 7.1 million bales): ↑ 32.8%
— Sugarcane 87.7 million tons (last year 81.0 million tons): ↑ 8.2%
— Rice 8.8 million tons (last year 8.4 million tons): ↑ 5.0%
— Wheat 28.9 million tons (last year 27.5 million tons): ↑ 5.1%.
(Target of wheat is set at 28.9 million tons for Rabi 2021-22).
— Pakistan is on a high growth path. At the same time, it is confronted with inflationary pressure like other economies of the world.
— The level and degree of inflation is the consequence of worldwide inflation and the exceptional surge in international commodity prices.
— Pakistan is a net importer of food items especially edible oil, pulses, wheat, sugar, crude oil, and other items. Due to the increase in global commodity prices, domestic prices are also on an increasing path but relatively at lower pace.
The government has initiated a comprehensive set of economic reforms in every sector of the economy. The objective is to ensure that the growth momentum remains intact along with the price stability and facilitation for the poor segments of society.
Measures initiated by the government:
— Agriculture package, industrial package, incentives for export promotion, ease of doing business reforms, investment promotion strategy, increase in PSDP spending, and the Prime Minister’s Housing and Construction Package.
— Under the Social protection program, the government has increased budgetary allocation for the Ehsaas program from Rs 208 billion to Rs 260 billion for FY 2022 to safeguard the poor segments of the Country.
— Kamyab Pakistan Program (KPP) has been developed for the promotion of Small and Medium Enterprises (SME), Agri, and Low-Cost Housing Finance.
— To control inflationary pressures, various policy, administrative and relief measures have been initiated.
— Due to prudent and pro-poor measures taken by the government of Pakistan, the proportionate rise of the prices of commodities i.e. sugar, wheat, edible oil, petrol, and diesel has not been passed on the domestic consumers.
— Growth impact on the general public takes time to trickle down.
Pakistan has successfully subsided the negative impact of COVID-19 through timely and appropriate measures.
For FY 2022, the economy is targeted to grow by 4.8% on the back of agriculture (3.4%), industry (6.5%), and services (4.6%).
The government’s measures are geared towards achieving higher inclusive and sustainable economic growth. These measures will enable the government to promote growth and pass on benefits to the general public.
Note: The above statistics were shared with the National Assembly by the Minister for Finance and Revenue Shaukat Fayaz Ahmed Tarin in a written reply on December 30, 2021.