ISLAMABAD (APP) - Federal Minister for Planning Ahsan Iqbal announced on Monday that economic indicators in the country have shown significant improvement, attributing this positive trend to ongoing economic reforms and stabilization policies implemented in December 2025.
During the launch of the “Monthly Development Report, January 2026,” Iqbal revealed that despite the challenges posed by devastating floods, the country achieved a GDP growth rate of 3.7% in the first quarter of fiscal year 2026, with industry growth reaching an impressive 9.4%.
Ahsan Iqbal noted that these figures represent a substantial improvement compared to the 1.6% growth recorded in the first quarter of fiscal year 2025.
He highlighted the stability observed in key sectors such as agriculture and services, which have contributed to the country’s economic resilience.
The Minister emphasized the government’s cautious approach to ensure sustainable development, stating that inflation decreased to 5.2% during the July-December 2025 period.
He further reported that inflation fell to 5.6% in December 2025, aided by improved availability of essential food items.
In a positive turn for the manufacturing sector, large-scale manufacturing recorded a recovery with a growth rate of 5% from July to October 2025, signaling an end to a two-year decline.
He also shared that tax collections by the Federal Board of Revenue (FBR) reached Rs 6.2 trillion during the July-December 2025 period, marking a 10% increase.
Exports showed resilience, rising by 1% to reach $16.6 billion during the July-November fiscal year 2026, despite the adverse effects of floods and supply chain disruptions. Iqbal described the rapid growth of the export sector as essential for the country’s economic improvement, indicating opportunities for further growth.
He mentioned government recommendations under the “Uraan Pakistan” initiative to impose an export emergency and implement effective measures to boost exports.