The government posted a rare Rs1.51 trillion federal fiscal surplus in the first quarter of fiscal year 2026, flipping last year’s Rs649 billion deficit and signalling robust revenue gains even as floods hammered crops and spiked food prices.
Energy
SBP keeps policy rate at 11 percent as floods drive up inflation risks
KARACHI: Pakistan’s central bank left its benchmark interest rate unchanged at 11% on Monday as policymakers assessed the impact of recent floods on food prices and the broader economy, extending a pause in monetary easing for a fourth straight meeting.
Pakistan resumes household gas hookups after four-year ban
ISLAMABAD: Prime Minister Shehbaz Sharif kicked off the rollout of regasified liquefied natural gas connections for households nationwide, meeting a longstanding public push for more affordable fuel amid dwindling domestic reserves.
ECC cautioned on looming price hike from flood damage, market distortions
ISLAMABAD: The Economic Coordination Committee (ECC) of the cabinet was warned of a looming inflation spike driven by flood-ravaged crops, supply chain disruptions, and potential cartel activity in the edible oil and ghee markets, threatening further food price hikes across the country.
PM Sharif pitches Pakistan as gateway for regional trade, transport and energy
ISLAMABAD: Prime Minister Shehbaz Sharif on Friday highlighted his country’s strategic position as a regional tri-junction linking China, Central Asia and the Middle East, saying it offered potential to boost trade, transport and digital cooperation across the region.
SBP expected to hold interest rates steady amid flood-driven inflation pressures
KARACHI: The central bank is poised to keep its key interest rate unchanged at 11 percent when it announces its decision on Monday, according to a Reuters poll of analysts, as devastating floods and border disruptions with Afghanistan continue to fuel food price surges and constrain options for further monetary easing.
Pakistan offers Rs22.98/unit power to industry, agriculture to revive growth
ISLAMABAD: Pakistan on Thursday launched a three-year subsidy package offering cut-rate electricity to its industrial and agricultural sectors in a bid to spur exports and job growth, despite ongoing IMF pressure to curb untargeted energy support.
K-Electric hit by Rs7.6 cut in average tariff after regulator’s review
ISLAMABAD: K-Electric Ltd., the power utility serving Pakistan’s largest city, said a regulatory decision will slash its average tariff by Rs7.6 per kilowatt-hour, creating challenges for the company and its customers amid efforts to stabilise the nation’s strained electricity sector.
Pakistan says floods to dent growth as farm damage mounts
ISLAMABAD: Finance Minister Muhammad Aurangzeb said recent floods that ravaged farmland across the country will likely curb economic growth this fiscal year, as initial assessments point to heavy damage in key agriculture sectors like rice and cotton.
Pakistan sees price stability return, growth edge up in FY25: central bank
KARACHI: The central bank said macroeconomic conditions improved in fiscal 2025 as tight monetary policy and fiscal tightening curbed inflation and bolstered stability, though risks from global trade disruptions, geopolitical strains and domestic flooding threaten the outlook.