ISLAMABAD: Pakistan’s GDP and per capita income increased in dollar terms during the fiscal year 2023-24, signaling a rebound in the country’s overall output compared to the previous year.
However, despite this growth, the economy’s size remains lower than the recorded $375.449 billion in fiscal year 2022, suggesting a slowdown in GDP growth under the PMLN-led coalition government. The National Accounts Committee, chaired by Planning Commission Secretary Awais Manzur Sumra, approved these figures during a meeting.
The economy expanded to $374.903 billion in fiscal year 2024 from $338.150 billion in fiscal year 2023, largely attributed to unprecedented inflation. While the committee endorsed a rapid GDP growth of 6.18% during fiscal year 2022 under the PTI government, growth has since declined until the recent fiscal year when it began to recover. Despite improvements, NAC noted that these figures still fall short of the levels observed in fiscal year 2022.
Stagnant incomes
In fiscal year 2024, per capita income in Pakistan saw a slight increase to $1,680 from $1,551 the previous year, but it remained below the levels of fiscal years 2022 and 2021. This suggests a decline in the standard of living and well-being across society, with no significant rise in personal incomes. This may lead to a decrease in disposable income, limiting individuals’ ability to afford goods, services, save, or invest.
In the third quarter of fiscal year 2024, the economy grew by 2.09%. The agriculture industry experienced growth of 3.94%, driven by an increase in the production of important crops, particularly wheat.
The hike in wheat production led to improvements in the estimates for the entire fiscal year, as well as in the first two quarters. Other crops also saw reasonable growth, attributed to increased production of vegetables and fruits. Livestock remained stable, while forestry and fishing maintained normal growth.
The industry sector showed signs of recovery in the third quarter, moving out of negative growth observed in previous quarters. The industry witnessed positive growth of 0.09% and 3.84% in the revised second and third quarters of fiscal year 2023-24, respectively, following consecutive periods of negative growth. The services industry also experienced growth of 0.83% in the third quarter of fiscal year 2023-24, with an inner analysis indicating a mixed trend.
