NAC approves FY GDP growth at 3.7%, economy size reaches $452 billion

ISLAMABAD: The National Accounts Committee (NAC) on Wednesday approved provisional GDP growth of 3.7 percent for fiscal year 2025-26, with the size of the economy reaching $452.1 billion and per capita income estimated at $1,901.
The 117th meeting of the NAC, held at the Pakistan Bureau of Statistics (PBS) headquarters, also approved quarterly GDP estimates for the current fiscal year and revised annual growth figures for previous years.
According to the committee, GDP grew by 3.99 percent in the third quarter (Q3) of FY26, reflecting stable economic performance. The agriculture, industry, and services sectors expanded by 3.01 percent, 4.65 percent, and 4.18 percent, respectively, during the quarter.
The NAC also revised upward the growth estimates for the first two quarters of FY26. GDP growth for Q1 and Q2 was revised to 3.92 percent and 4.05 percent, compared to earlier estimates of 3.63 percent and 3.89 percent.
In Q3, agriculture recorded broad-based growth, with all sub-sectors posting positive performance, including important crops (1.10%), livestock (3.70%), and other crops (2.27%). The industrial sector grew by 4.65%, driven mainly by a strong expansion of 9.53 percent in large-scale manufacturing, despite contractions in mining and energy sectors.
The services sector maintained steady momentum, growing by 4.18% in Q3, supported by gains in information and communication (9.78%), public administration (8.88%), and wholesale and retail trade (4.13%).
For the full fiscal year FY26, agriculture is estimated to grow by 2.89 percent, industry by 3.51 percent, and services by 4.09 percent.
The committee noted that agricultural growth remained moderate due to mixed crop performance, including increases in wheat, rice, and sugarcane output, while maize and cotton registered slight declines.
Industrial growth was supported by a 6.11 percent increase in large-scale manufacturing, with notable gains in automobiles, petroleum products, and electrical equipment. However, the energy sector contracted by 10.63 percent, largely due to a high base effect and reduced subsidies.
The construction sector posted a growth of 5.73 percent, driven by increased spending from both the private sector and the government.
Meanwhile, the services sector recorded broad-based growth, led by public administration (8.54%), information and communication (7.52%), and health services (6.85%).
The NAC also approved final GDP growth for FY24 at 2.62 percent, while revising FY25 growth upward to 3.18 percent from 3.06 percent.
In nominal terms, the size of the economy increased to Rs126.9 trillion ($452.1 billion) in FY26, compared to Rs114 trillion ($408.2 billion) in the previous year.
The meeting was chaired by Secretary Planning, Development and Special Initiatives and attended by senior officials from the Finance Ministry, State Bank of Pakistan, and other key stakeholders. Ends