Pakistan’s economy has recorded a GDP growth of 3.04% during FY2025, reflecting a stronger-than-expected recovery across agriculture, industry, and services. According to the Pakistan Bureau of Statistics, the revised figure surpasses the 2.68% growth earlier estimated by the National Accounts Committee (NAC), marking a notable upward adjustment in the country’s growth trajectory.
The updated figures were announced during the 114th meeting of NAC, which reviewed performance indicators across multiple sectors. As per the revised data, growth in agriculture stood at 1.51%, in industry at 5.26%, and in services at 3%, reflecting improvements in both primary production and value-added activities.
In agriculture, the performance of major crops improved from -13.49% to -13.12%, while other crops saw a major jump from 4.78% to 19.55%. This surge was driven by higher production of green fodder (16%), vegetables (12%), fruits (10%), and tobacco (25.7%). Although livestock growth decelerated from 4.72% to 2.94% due to increased fodder inputs, forestry and fishing posted moderate gains of 2.66% and 1.40% respectively.
The industrial sector demonstrated significant resilience with growth revised to 5.26% compared to the earlier 4.77%. Mining and quarrying improved from -3.38% to -2.35%, reflecting increased activity in oil (3.5%), limestone (31.6%), marble (11.6%), and exploration costs (26.1%). Large-scale manufacturing, which is measured through the Quantum Index of Manufacturing, improved from -1.53% to -0.69%, signaling a gradual recovery in production capacity.
The services sector, a major contributor to GDP, grew to 3% from 2.91%, driven by improvements across multiple sub-sectors. Wholesale and retail trade rose from 0.14% to 0.46% on the back of better performance in agriculture, manufacturing, and imports. Transport and storage grew to 2.43% from 2.20% due to upward revisions reported by multiple stakeholders including NTRC, domestic and foreign airlines, and ports. Information and communication posted a slight dip from 6.48% to 5.85%, while finance and insurance improved to 3.90% from 3.22%, supported by growth in the insurance segment.
The overall size of Pakistan’s economy reached Rs113.7 trillion, equivalent to $407.2 billion, up from Rs105.2 trillion ($371.8 billion) in the previous fiscal year. Per capita income increased to Rs506,188 or $1,812, reflecting gradual improvement in income levels.
Quarterly figures showed steady momentum throughout the fiscal year. GDP growth for Q1, Q2, and Q3 was revised upwards to 1.80%, 1.94%, and 2.79% respectively, compared to earlier lower estimates. The NAC attributed this positive trend primarily to upward revisions in agricultural benchmarks. In Q4, GDP surged to 5.66%, with agriculture growing at 0.18%, industry at 19.95%, and services at 3.72%.
These figures indicate a gradual stabilization of Pakistan’s economic fundamentals, despite inflationary pressures, fiscal constraints, and external challenges. The stronger industrial output and services growth point to improving business confidence and investment activity. Sustaining this momentum, however, will require continued policy support, fiscal discipline, and a favorable external environment to ensure broad-based economic growth.
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