Pakistan's economy reached $452.1 billion in fiscal year 2025-26, with per capita income rising to $1,901, as the country posted provisional GDP growth of 3.7% for the full year.
The National Accounts Committee approved the figures at its 117th meeting on Wednesday, held at the Pakistan Bureau of Statistics headquarters in Islamabad.
What is Pakistan's GDP growth rate for FY2025-26?
The NAC approved a provisional annual GDP growth rate of 3.7% for FY2025-26. The economy recorded provisional growth of 3.99% in the third quarter of FY2025-26, with the total size reaching $452.1 billion.
The per capita income stood at $1,901.
How were Pakistan's quarterly GDP growth rates revised?
The committee revised Q1 FY2025-26 growth upward to 3.92% from the earlier estimate of 3.63%. Q2 growth was revised up to 4.05% from 3.89%, both figures previously presented at the NAC's 116th meeting. The Q3 provisional growth came in at 3.99%, reflecting continued momentum in industrial and services activity.
The committee also approved final and revised annual growth rates for previous fiscal years. The economy grew 2.62% in FY2023-24 and 3.18% in FY2024-25. The upward revisions across multiple periods suggest that economic activity recovered more strongly than earlier data had captured.
What is driving Pakistan's economic growth in FY26?
Industry and services sectors were the primary drivers of stronger growth in the third quarter, with construction and large-scale manufacturing contributing meaningfully to the improvement. Agriculture also recorded positive growth, though at a more modest pace.
The revised figures point to a broad-based recovery across the economy after years of high inflation, currency pressure, and external financing challenges.
What risks remain to Pakistan's GDP growth outlook?
Economists cautioned that sustaining growth above 4% will depend on structural reforms, export performance, and continued macroeconomic stability.
Challenges, including weak investment, energy sector inefficiencies, and pressure on external accounts, could weigh on long-term growth prospects despite the improved trajectory.
The government has said it expects economic conditions to improve further as inflation eases and IMF-linked reforms take effect.
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