The State Bank of Pakistan (SBP) has released its semi-annual report on the state of the economy, highlighting significant improvements in key economic indicators during the first half of the current fiscal year.
According to the report, Pakistan’s economic situation showed marked progress, supported by a balanced monetary policy stance, the successful implementation of the International Monetary Fund (IMF) program, and a decline in global commodity prices. These factors collectively helped in reducing inflationary pressures across the country.
However, the report pointed out that real GDP growth moderated during the period, mainly due to the lower production of major Kharif crops and a contraction in industrial activities. Despite this slowdown in growth, other critical sectors reflected positive momentum.
One of the major highlights of the report was the performance of Pakistan's external sector. The current account balance turned into a surplus, contributing to an overall improvement in the country’s financial stability. Additionally, foreign exchange reserves saw an increase, providing a stronger cushion against external shocks.
The report also noted a sharp improvement in fiscal indicators, with the fiscal deficit falling to its lowest level since previous fiscal years, reflecting prudent fiscal management and improved revenue collection.
The State Bank emphasized that continued reforms, policy discipline, and supportive global conditions will be essential for maintaining the current trajectory of economic recovery.
