Pakistan Sees Surge in Social Welfare Spending and Worker Migration Amid Economic Stability
Pakistan reports significant growth in social welfare disbursements and overseas employment during FY2026, reflecting the government’s continued focus on poverty alleviation and expanding labor mobility. These measures support economic resilience amid mixed crop outlooks and inflationary pressures.
Pakistan Adds Rs162 Billion in Weekly Borrowing as Fiscal Pressures Intensify
Pakistan’s government recorded Rs162 billion in additional borrowing in a single week, pushing cumulative fiscal year figures and highlighting ongoing pressure on budgetary financing needs.
Pakistan Manufacturing PMI Falls Below 50 in September Amid Flood-Driven Disruptions
Pakistan’s manufacturing sector contracts for the first time since May 2024, with the HBL PMI falling to 48.0 in September due to flood-related disruptions, higher costs, and reduced orders, though optimism for future growth remains.
Pakistan and IMF begin talks on $7bn Extended Fund Facility and RSF reviews
Pakistan and the IMF have opened talks on the $7 billion Extended Fund Facility (EFF) and Resilience and Sustainability Facility (RSF) reviews, focusing on fiscal performance, governance reforms, and anti-money laundering measures.
Pakistan’s Fiscal Discipline Strengthens as Primary Balance Hits 24-Year High
Pakistan’s fiscal position strengthened in FY2025 with the lowest deficit in eight years and a 24-year high primary surplus, as improved revenue collection and disciplined spending set the stage for FY2026.
Pakistan’s Forex Reserves Edge Up to $14.30 Billion Amid Stable Inflows
Pakistan’s foreign exchange reserves held by the SBP rose by $28 million to $14.30 billion as of August 29, 2025, reflecting stable inflows and cautious management. Total liquid reserves stood at $19.66 billion, with commercial banks holding $5.36 billion.
State Bank of Pakistan’s Forex Reserves Edge Higher, Surpass IMF Targets
The State Bank of Pakistan’s foreign exchange reserves rose by $11 million to $14.243 billion in the week ending August 8, crossing IMF targets and lifting total liquid reserves to $19.496 billion, with commercial banks holding $5.253 billion.
SBP Reserves Drop by $2.66 Billion on Debt Repayments, Recovery Expected Through Fresh Inflows
The State Bank of Pakistan’s foreign reserves dropped by $2.66 billion in one week due to major debt repayments. However, fresh inflows exceeding $3 billion are expected to reverse the decline in upcoming data.