Home / Knowledge / News / Textiles / Pakistan's economy to contract by 0.38%: Economic Survey

Pakistan's economy to contract by 0.38%: Economic Survey

Jun '20
Pic: Shutterstock
Pic: Shutterstock
For the first time in 68 years, Pakistan's economy is set to contract this fiscal by 0.38 per cent due to the impact of the COVID-19 pandemic along with the pre-pandemic weak financial situation, according to the Economic Survey released recently by finance advisor Abdul Hafeez Sheikh, who said exports fell due to a fall in demand while remittance decreased due to layoffs of Pakistanis employed abroad.

Sheikh said the current account deficit was reduced by 73.1 per cent to $2.8 billion (1.1 per cent of the gross domestic product (GDP]) against $10.3 billion last year which was 3.7 per cent of GDP. The current account deficit that the present government inherited was around $20 billion.

Except for the agriculture sector that grew by 2.7 per cent, the industrial and services sectors witnessed negative growth rates, pulling the overall growth rate down to negative 0.38 per cent in fiscal 2019-20, which ends on June 30, the Economic Survey said.

The per capita income in dollar terms has also dipped to 1,366—a contraction of 6.1 per cent, but it increased in rupee terms to Rs 214,539.

The overall tax collection grew by 10.8 per cent to Rs 3,300.6 billion during July-April 2020 against Rs 2,980 billion in the comparable period last year. The tax collection estimate for this period was Rs 4,510 billion.

The government controlled state expenses and did not borrow from the State Bank of Pakistan during this fiscal, Sheikh was quoted as saying by Pakistani media reports.

He said Rs 3,000 billion were set aside for loans in the next fiscal while Rs 5,000 billion were offered as loans in this fiscal. He promised more relief and reduced taxes in the new budget.

Fibre2Fashion News Desk (DS)

Must ReadView All

Pic: Shutterstock

Textiles | On 15th Jun 2021

Australia, UK agree on broad terms of trade deal

Prime Ministers Scott Morrison and Boris Johnson have agreed in...

Pic: Shutterstock

Textiles | On 15th Jun 2021

Germany passes law on corporate due diligence in rights, environment

The German parliament passed a law last week that warrants large and...

Pic: Azamat Imanaliev / Shutterstock.com

Apparel/Garments | On 15th Jun 2021

Prime Content| Revenue, profits of major garment firms in China rise in Jan-April

Revenue, profits, output, online retail sales and exports of major...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

The pandemic has reinstated need for organised retail spaces in Tier II...

Textile Industry, Head honchos

Textile Industry
Head honchos

Opportunity now to reimagine processes & systems in a digital environment

Textile Industry, Head honchos

Textile Industry
Head honchos

We are staring at livelihood crisis for weavers

Sanjay Vakharia,

Sanjay Vakharia

One of the first few Indian denim brands, Spykar, established in 1992, was ...

Ujjval Saraf,

Ujjval Saraf

Founded by Jimmy Lai, Giordano International Ltd, a Hong Kong based...

Shyam Gupta,

Shyam Gupta

Established by <b>Shyam Gupta</b> in 1978, Gargee Designer's (GD) offers...

Madison Maxey, Loomia

Madison Maxey

Loomia designs and manufactures soft circuit systems that can be produced...

Hemant Bheda, Arevo

Hemant Bheda

Arevo, based in Silicon Valley in California, develops technology to...

Sachin Pendharkar, Dieffenbacher India Pvt Ltd

Sachin Pendharkar
Dieffenbacher India Pvt Ltd

Germany-based Dieffenbacher Group is a producer of high-quality composites ...

Seema Agrawal, Artisan Saga

Seema Agrawal
Artisan Saga

Artisan Saga, founded by Kaushik Rajani and Seema Agrawal, is an online...

Archana Jaju, Label Archana Jaju

Archana Jaju
Label Archana Jaju

<b>Archana Jaju</b>’s Hyderabad-based eponymous label works with artisans...

Suman Nathwani, Suman Nathwani

Suman Nathwani
Suman Nathwani

Designer <b>Suman Nathwani</b> talks about her journey of opening a...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


Leave your Comments

June 2021

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

Advanced Search