Monthly Development Update Report launched: Ahsan underscores critical role of overseas Pakistanis

ISLAMABAD: Federal Minister for Planning, Development and Special Initiatives, Ahsan Iqbal, underscored the critical role of overseas Pakistanis’ remittances in strengthening the country’s external sector, noting that inflows reached USD 16.1 billion during July–November of the ongoing financial year 2025–26, marking a robust growth of 9.3 percent compared to the corresponding period last year.

While launching the Monthly Development Update Report for December 2025 on Thursday, the Minister said that inflation averaged 5.0 percent, down from 7.9 percent last year, reflecting the positive impact of government policies, administrative actions, and relief measures. However, he noted that flood-related disruptions pushed monthly inflation up to 6.1 percent in November.

Regarding Large-Scale Manufacturing (LSM), the Minister said the sector rebounded with 4.1 percent growth, signaling renewed industrial activity and increased demand for raw materials and fuel.

He further said that Federal Board of Revenue (FBR) tax collection maintained a steady growth trajectory, reaching Rs 4,733.7 billion during July–November, reflecting a growth of 10.2 percent.

He added that goods’ exports during July–November FY2025–26 declined by 3.2 percent to USD 12.8 billion, compared to USD 13.2 billion in the same period last year, mainly due to a decline in food group exports, particularly rice exports, which fell by 44 percent.

Here is an improved and refined version of the text, preserving the original meaning, data, and structure while enhancing clarity, consistency, and professional tone:

In the services sector, the Minister said that Information Technology (IT) exports registered a 19 percent increase, reaching USD 1.8 billion. He added that imports also showed an upward trend, driven by increased industrial activity, higher imports of capital goods, and the government’s trade liberalization measures.

Regarding the Central Development Working Party (CDWP), the Minister said that in November 2025, two CDWP meetings were held to review development proposals submitted by federal ministries and provincial governments.

He said CDWP considered a total of 36 agenda items, including 20 projects, six position papers, nine concept clearance proposals, and one policy paper. Of these, 10 projects, two position papers, seven concept clearance proposals, and one policy paper were approved by the CDWP, while six major projects and four position papers were referred to the Executive Committee of the National Economic Council (Ecnec) for final approval.

He said the CDWP approved a Rs 3.32 billion education project aimed at expanding access to quality education aligned with international standards, with a focus on marginalized youth.

In the environment sector, one project valued at Rs 56.140 billion was recommended to Ecnec to enhance community and infrastructure resilience against climate-induced flood risks.

Regarding the governance sector, the minister said that an umbrella programme costing Rs 5.432 billion was approved by the CDWP to streamline access to high-quality consultancy services for federal ministries and agencies.

In the health sector, he said the CDWP approved a project worth Rs 7.221 billion, while another project valued at USD 2.424 billion, aimed at interrupting polio transmission in high-risk districts under the National Emergency Action Plan, was recommended to Ecnec.

Regarding the power sector, the minister said that two projects totaling Rs 11.381 billion were approved to ensure an uninterrupted and affordable power supply to Bin Qasim Industrial Park and to support commercial viability.

In the water resources sector, he said that a project worth Rs 15.654 billion was recommended to the Ecnec for the development of the Indus Amber and Janda Boka perennial irrigation systems through the Gandaf Tunnel from Tarbela Dam, targeting the Swabi and Nowshera districts.

The Minister said that unnecessary expenditures in development projects were eliminated, resulting in savings of Rs 3.3 billion between July and October 2025.

He said 994 immediate jobs would be created through approved development projects, adding that, overall, approximately 24,859 direct and 40,873 indirect employment opportunities were expected to be generated as those projects progressed.

Ahsan Iqbal announced that the Green Building Code had been made mandatory for all future development projects to ensure environmental protection and sustainable development across the country.

He further said under the “Uraan Pakistan” initiative, partnerships had been established with Oxford and Cambridge universities to promote research, technology, and innovation.

Highlighting efforts to revive the IT sector, the minister said that “more than 20,000 young people are being trained in advanced technologies under the IT industry revival plan, which is expected to create over 14,000 new jobs.”

Copyright Business Recorder, 2025