Pakistan’s GDP grows 3.07% in April-June, 2.52% in FY24

Pakistan’s gross domestic product (GDP) grew by 3.07% in the fourth quarter (April-June) of fiscal year 2023-24, estimates released by the Pakistan Bureau of Statistics (PBS) on Monday showed.

“The economy has posted stable growth of 3.07% during Q4 of FY 2023-24,” stated a press release issued by the PBS after the 110th National Accounts Committee (NAC) meeting.

During Q4, growth in agriculture, industry and services stands at 6.76%, -3.59% and 3.69% respectively, the committee shared.

Further, the NAC also approved the updated provisional growth of GDP at 2.52% during FY24, which was higher than previous estimates of 2.38%.

The updated growth rates in agriculture, industry and services are 6.36%, -1.15% and 2.15% respectively in FY24.

“The healthy growth of agriculture is mainly due to double-digit growth in important crops i.e. 17.02%, which was 16.82% in the previous meeting on account of improvement in wheat (from 31.438 to 31.583 MT).

Q2FY24: Pakistan sees GDP growth of 1%, below expectation

“While the growth in other crops has declined from 0.90% to -1.20%, the livestock has improved from 3.89% to 4.47% due to a decrease in inputs,” NAC noted.

Meanwhile, the committee also approved the updated revised growth during FY23 at -0.22%, which was earlier estimated at -0.21% in the previous meeting.

The NAC also approved the revised first, second and third quarter estimates for 2023- 24.

“Overall GDP for Q1, Q2 and Q3 for FY 2023-24 has witnessed a revised growth of 2.69%, 1.97% and 2.36% as compared to 2.71%, 1.79% and 2.09% presented in the 109th meeting of the NAC respectively,” read the statement.

“We expect Pakistan GDP to grow at 2.5-3.0% in FY25 wherein we expect the agriculture sector to grow at 1.7% followed by industrial 2.1% and services at 3.4%,” said Topline Securities.

The International Monetary Fund (IMF) has projected Pakistan’s GDP growth at 3.2% during FY25, compared to 2.4% recorded in the last fiscal year. The projection was higher than the Asian Development Bank’s (ADB) projection, which expected GDP to grow by a moderate 2.8% in the ongoing fiscal year.