ISLAMABAD: Despite significant challenges, the overall economic outlook remained optimistic, marked by receding inflationary pressures, positive prospects in agriculture, signs of potential recovery in the industrial sector, imports, and a favorable external environment.
According to Monthly Economic Update and Outlook for December issued by the ministry of finance, the optimistic economic outlook is also evident by the 2.13 percent growth achieved in the first quarter of FY2024, largely contributed by agriculture and industry.
Further, the report says, the twin deficit is on a downward trajectory signifying better economic management to reduce the macroeconomic imbalances.
“This lays the foundation for progressing towards higher and sustainable economic growth. It is therefore expected that this positive momentum will further strengthen in the upcoming months,” the report adds.
Meanwhile, the report says for the Rabi season 2023-24, wheat crop has been cultivated on an estimated area of 8.733 million hectares against the target of 8.998 million hectares to achieve the production target of 32.3 million tonnes.
Punjab has surpassed its sowing target (6.475 million hectares) by 2 percent to 6.592 million hectares, while in other provinces it is in progress.
The Large Scale Manufacturing (LSM) declined by 0.4 percent during Jul-Oct FY 2024 against the contraction of 1.7 percent same period last year. In October 2023, LSM decreased by 4.1 percent on Year on Year (YoY) basis against -1.4 percent in the same month last year.
