The main indicator of a well-performing economy is the stock market. PHOTO: INP
Despite challenges on multiple fronts, major economic indicators have shown positive signs of sustainable growth, mainly owing to improved foreign exchange reserves, workers’ remittances and investments because of political stability.
For the first time in six years, GDP rate exceeded 4% (4.14%) in the financial year 2013-14. A considerable improvement has been witnessed in Large Scale Manufacturing (LSM) while inflation was recorded at a single digit, according to official data.
“The economic growth has been possible due to political stability, good governance and the will of the nation to eliminate terrorism, as indicated by the ongoing Operation Zarb-e-Azb,” believed economic experts.
The main indicator of a well-performing economy is the stock market. The performance of Karachi Stock Exchange proves economic growth as its index has touched a historic level of 34,000 points. This shows investors’ confidence in the country’s economy.
Overseas workers’ remittances also showed an impressive growth of 15.25% to $8.981 billion during the first half of current fiscal year (2014-15).
The exports started showing positive growth in December 2014 as the same grew by 9.66% as compared to November 2014. Though the overall goods trade deficit increased, the same in services decreased by 23.84% during first five months of the current fiscal year.
Currently the foreign investment into the country is about 14% of GDP, which will be increased by 1% for the next five years, said official sources.
Published in The Express Tribune, January 23rd, 2015.
COMMENTS (5)
Comments are moderated and generally will be posted if they are on-topic and not abusive.
For more information, please see our Comments FAQ
There have improvements in the economy mainly owing to our resolve to defeat terrorism. The cost of doing business in Pakistan and also living in Pakistan has increased manifold due to terrorism going unabated. The police in some cases is scared and in some cases a part. The stock market is not really a true barometer as is projected so often. It goes up by 800 points on a day and then drops by 850 points just in next three days. It had increased on the day earthquake hit Pakistan and Azad Kashmir. KSE was technically closed for 110 days in 2008. What does this indicate that all in all our stock market is not a true measure of economy as is claimed by the vested quarters.
JS and Mansha at work as is Ishaq Dear. He has already made arrangements for 40 billion Rupees Nawaz told him to. Power duty has been raised by over Rs 2.50. Multiply this with bill paying people and there you are.
Not true many factors and variables involved. .if mkt is propped up via a weak currency and poor regulations were ill gotten gains are allowed into the mkt with very little or no accountability mkt will rise especially in an illiquid mkt KSE is a frontier mkt a minnow in global term's
Thank You Nawaz Sharif.. Get rid of load shedding and we get you elected for next term too.