Islamabad: The Finance Ministry has reported signs of resilience and stability in the country’s economy, noting improvements on both fiscal and external fronts. According to a recently released Economic Outlook report, inflationary pressures have lessened due to declining food and energy prices. The report also cites fiscal consolidation measures as pivotal in achieving a primary surplus and reducing the fiscal deficit.

The external sector remains strong, characterized by a current account surplus, export growth, significant remittance inflows, and increasing foreign investment. In the first eight months of the current fiscal year, the current account recorded a surplus of $691 million, a reversal from a deficit of $1,730 million in the previous year. During the same period, goods exports rose by 7.2 percent, reaching $21.8 billion compared to $20.4 billion last year.

Worker remittances showed notable growth, with a 32.5 percent increase, bringing in $24 billion compared to $18.1 billion in the previous year. The country’s total liquid foreign exchange reserves stood at $16 billion as of the 14th of this month, with the State Bank of Pakistan holding $11.1 billion.

The automobile sector also exhibited positive trends over the first eight months of the fiscal year. Car production surged by 41.9 percent, while truck and bus production increased by 105 percent, and jeeps and pickups saw a rise of 78.2 percent.

Federal revenue collection demonstrated significant growth, with net revenues increasing by 45.3 percent to 6,362.5 billion rupees in the first seven months of the fiscal year, compared to 4,379.5 billion rupees last year. This growth is attributed to effective tax and non-tax collection efforts.