A recent survey conducted by the Overseas Investors Chamber of Commerce and Industry (OICCI) has revealed an increase in business confidence across Pakistan. The findings from the OICCI’s Business Confidence Index (BCI) Survey – Wave 26, conducted in October and November 2024, indicate a positive shift in sentiment among businesses, driven by several key economic factors.
The latest survey results suggest a notable improvement in business confidence, attributed to Pakistan’s positive economic growth, a stable exchange rate, and a significant reduction in inflationary pressures. These factors have contributed to a more optimistic business environment, reflecting resilience amidst the ongoing challenges facing the country.
Yousaf Hussain, President of OICCI, commented on the survey’s findings, noting that the rise in the Business Confidence Index (BCI) reflects an overall positive outlook for the economy. He attributed this improvement to the government’s bold measures aimed at stabilizing the economy, including compliance with the IMF’s Extended Fund Facility (EFF), which has led to an enhanced country risk rating by international agencies. Hussain also highlighted the increase in foreign exchange (FX) reserves as a critical factor in maintaining the stability of the exchange rate, which has helped contain inflationary pressures.
The survey also showed optimism for the coming six months, with 43 percent of respondents expressing positive expectations for the future. This marks an increase from 34 percent in the previous wave of the survey. Several factors contributed to this optimistic outlook, including growth in the global market, improved government policies, declining inflation, better law-and-order conditions, and continued economic growth.
M. Abdul Aleem, Secretary General of OICCI, further emphasized that the survey reflects cautious optimism among businesses, particularly in the services and manufacturing sectors, which have seen significant growth. The OICCI BCI survey is conducted periodically, gathering feedback from key business stakeholders that represent nearly 80 percent of Pakistan’s GDP. The survey covers various factors at the regional, national, and sectoral levels, providing valuable insights into the business environment across the country.
Despite the positive shift in confidence, Secretary General Aleem stressed the importance of actionable measures to sustain the momentum. He expressed hope that key stakeholders would thoroughly analyze the BCI Wave 26 feedback and take timely steps to support all segments of the economy. He further called for a consistent and transparent policy framework focused on ease of doing business, which would accelerate economic growth, investment, exports, and employment.
Overall, the OICCI survey reflects an encouraging trend in business sentiment, signaling a potential boost for Pakistan’s economy in the coming months. While challenges remain, the positive feedback underscores the resilience of the business community and the potential for continued growth if the right policies and actions are put in place.