ISLAMABAD: Pakistan’s GDP increased by 2.38 percent in the fiscal year 2024, with strong growth in the agriculture sector which expanded by 6.25 percent compared to 2.27 percent growth during last year, while both the industrial and services sectors grew by 1.21 percent, according to Pakistan Economic Survey 2023-24.
According to the economic survey, the GDP, valued at current market prices, reached Rs 106,045 billion (US $ 375 billion), with a 26.4 percent increase from the previous year’s Rs 83,875 billion (US $338 billion). The per capita income rose to US $ 1,680, from US $ 1,551 in the previous year, driven by improved economic activity and a stable exchange rate. The investment-to-GDP ratio for FY 2024 remained at 13.14 percent, a decrease from 14.13 percent in FY 2023, attributed to a global slowdown, political instability in the country along with restrictive macroeconomic policies. Gross Fixed Capital Formation (GFCF) stood at Rs 12,122.5 billion, an 11.4 percent increase over the FY 2023. Both private and public investments grew by 15.8 percent and 18.2 percent, respectively. Nevertheless, the national saving rate remained steady, recorded at 13.0 percent in FY 2024.
The agriculture sector has shown a growth of 6.25 percent in 2023-24 compared to 2.27 percent last year, driven by healthy growth in important crops. Specifically, there was a significant growth of 16.82 percent in the production of major crops. Wheat production has witnessed a record growth of 11.6 percent, reaching 31.4 million tonnes compared to 28.2 million tonnes last year. Cotton production, which was severely damaged by floods and rains last year, recorded 10.2 million bales compared to 4.9 million bales last year, growing by 108.2 percent. Rice production also saw a significant increase, reaching 9.9 million tonnes compared to 7.3 million tonnes last year, representing a growth of 34.8 percent.
In contrast, sugarcane and maize production declined by 0.4 percent and 10.4 percent, respectively, with sugarcane production at 87.6 million tonnes compared to last year’s 88.0 million tonnes, and maize production at 9.8 million tonnes compared to 11.0 million tonnes last year. The negative growth in sugarcane and maize has been offset by the substantial growth in wheat, cotton, and rice.
Livestock, which accounts for 60.84 percent of the agricultural sector and 14.63 percent of GDP, grew by 3.89 percent in 2023-24, up from 3.70 percent last year. The forestry sector, contributing 2.33 percent to agricultural value addition and 0.56 percent to GDP, grew by 3.05 percent, compared to a significant 16.63 percent growth last year.
Meanwhile, Large-Scale Manufacturing (LSM) remained in negative territory at -0.1 percent during July-March FY 2024, an improvement compared to the -7.0 percent growth in the corresponding period last year. During this period, 11 out of 22 sectors witnessed growth, including Food, Wearing Apparel, Leather, Wood Products, Coke & Petroleum Products, Chemicals, Pharmaceuticals, Rubber Products, Machinery & Equipment, Furniture, and Other Manufacturing (e.g., footballs). On a year-on-year (Y-o-Y) basis, LSM increased by 2.0 percent in March 2024 against a contraction of 26.4 percent in the same month last year. However, on a Month-on-Month (M-o-M) basis, LSM declined by 9.4 percent in March 2024 compared to a decrease of 3.1 percent in February 2024.
Islamabad: Federal Minister for Finance and Revenue, Muhammad Aurangzeb presenting a copy of Economic Survey of Pakistan 2023-2024 to the Prime Minister Muhammad Shehbaz Sharif prior to its official launch. pic.twitter.com/CwbpZkOqpK
— Government of Pakistan (@GovtofPakistan) June 11, 2024
The Mining and Quarrying sector recorded at 4.9 percent during FY 2024 against a dip of 3.3 percent last year. During July-March FY 2024, production of major minerals such as Coal, Chromite, Iron Ore, Soapstone, Magnesite, and Marble witnessed growth of 37.7, 36.9, 63.9, 29.3, 34.4, and 23.2 percent, respectively. However, some minerals experienced negative growth, such as Natural Gas (-2.0 percent), Dolomite (-2.1 percent), Sulphur (-20.3 percent), Barytes (-10.9 percent), and Ocher (-24.8 percent).
Highlights_compressed_compressed_compressed_compressed
