The jump was also fired by a surge in commodity prices -- iron ore is at a record and copper close to one -- electronics and integrated circuits, which are then mostly turned around before being shipped abroad.
“After COVID the remittances have increased, due to decrease in Pakistanis travelling we are moving towards consumption-driven growth. Furthermore, the reduction in the interest rate and strengthening of Pakistani rupee has played a role in KSE-1000 companies showing record profit,” he said.
As the third wave continues to disrupt economies worldwide, Pakistan’s economy has a lot going on in its favour this time, according to the Dr. Raza Baqir, Governor of the State Bank of Pakistan (SBP) in an online session with Nest I/O.
Dr. Raza Baqir explained how the country’s demographic profile, growing mobile penetration rate, and positive economic indicators, especially during the COVID-19 pandemic, have contributed to an increase in investments.
Najam was of the view that despite challenges, the government should target to achieve a 6pc to 7pc growth rate and utilize all the resources at its disposal especially low-interest rate (policy rate).
Federal Minister for Planning, Development and Special Initiatives,Asad Umar has said that Pakistan needs economic transformation by redefining resource allocation and incentive structure. Asad Umar was addressing a seminar organized at the Planning Commission in which the Economic Advisory Group/PRIME Institute gave a presentation outlining a conceptual framework for economic transformation.