Pakistan's economy emerging at a pace rivaled by none in region: PM

ISLAMABAD: Prime Minister Imran Khan on Monday said at a time when the global economy was being battered by the adverse effect of COVID-19 pandemic, Pakistan's was emerging at a pace rivaled by none in the region.

Chairing a meeting to review the economic situation, the prime minister reiterated the current government's resolve of improving the macroeconomic condition of Pakistan, besides ensuring its trickling down effects at the grassroots level for the well-being of the populace.

According to a PM Office press release, the prime minister also mentioned the unprecedented steps taken by the government for ease of doing business and emphasized on moving further in the direction to improve exports.

Minister for Economic Affairs Makhdoom Khusru Bakhtiyar briefed that the major indicators, including Pakistan's Current Account Balance for the first quarter of FY 20-21, registered a surplus of $792 million as against a deficit of $1,492 million the same quarter last year.

The strong performance of current account balance had been achieved after 15 years, he added.

He said the balance of trade narrowed from $5.791 billion for the first quarter of FY 20-21 as against first quarter last year that was $6.146 billion, showing a 6% improvement.

During the period, he said, the exports maintained their positive momentum despite challenges while the imports were brought down significantly.

Further, workers' remittances during the first four months of FY 2021, were $9.4 billion as against $5.452 billion in the first quarter last year, registering a strong growth of 26.5%, which augured well for the external account stability, he added.

Unveiling the official external inflows during Q1 of FY 2021, he informed the meeting that the same were $2.919 billion as against $2.180 billion the same quarter last year. That translated into a 25% increase.

He further said the External Public Debt Servicing during the first quarter of FY 2021, amounted to $1.752 billion as against $2.519 billion in Q1 last year.

It translated into 44% decrease in external debt servicing, which was mainly attributable to the government's strategy to successfully avail G-20 debt relief.

Khusru Bakhtiyar said the reserves held by the State Bank of Pakistan had reached $12.154 billion as against $7.937 billion during the first quarter last year. The foreign exchange reserves showed the growth of 35%.

The prime minister lauded the efforts of the economic team on the improved economic indicators.