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SIFC reforms begin delivering results, says Planning Minister

Pakistan’s economy has shown clear signs of recovery and stability over the past year, with key sectors recording strong growth following strategic policy reforms under the Special Investment Facilitation Council (SIFC), official data and government statements indicate.

According to economic figures for the current fiscal year, Pakistan’s gross domestic product (GDP) grew by 3.71 percent, an increase of 2.15 percentage points compared to last year. The improvement reflects broader gains across agriculture, industry, manufacturing and services, signalling a positive shift in the country’s economic trajectory.

Federal Minister for Planning, Development and Special Initiatives Ahsan Iqbal said the industrial sector recorded a growth rate of 9.38 percent during the ongoing fiscal year. This marks a sharp turnaround from the previous year, when industrial growth stood at just 0.12 percent, highlighting a revival in production and business activity.

The agricultural sector also posted steady performance, registering growth of 2.89 percent, while the livestock sector expanded by 6.29 percent. Officials say the gains in agriculture have contributed to production stability and improved farmers’ incomes, strengthening the foundation for long-term economic growth.

Manufacturing activity increased by 5.78 percent, supported by significant expansion in allied sectors. The automobile industry recorded growth of 84.6 percent, while the transport sector expanded by 40.7 percent, reflecting recovering demand and improved supply conditions.

The financial and insurance sector showed a strong rebound, growing by 10.36 percent after facing negative growth last year. Other sectors, including construction, education, health, public administration and forestry, also recorded notable improvements, pointing to more balanced and broad-based economic development.

Government officials say the improving macroeconomic indicators and sectoral performance are enhancing Pakistan’s appeal for global investors. With sustained growth across major sectors, Pakistan is positioning itself for greater economic stability, increased investment inflows and stronger engagement with the global economy.