ISLAMABAD: The federal government, dominated by the Pakistan Muslim League-Nawaz, and the opposition-led administration in Khyber Pakhtunkhwa have unexpectedly aligned on a key fiscal reform: scaling back population as the primary factor in divvying up national resources under the National Finance Commission.
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Pakistan forms 11th National Finance Commission to tackle fiscal divide
ISLAMABAD: President Asif Ali Zardari on Friday constituted the 11th National Finance Commission (NFC), a pivotal body tasked with reshaping the contentious distribution of federal tax revenues between the central government and the country’s four provinces.
Pakistan’s GDP growth set to accelerate to 3.5% by 2027, Fitch says
KARACHI: Pakistan’s economy is poised for a stronger recovery, with real gross domestic product growth expected to pick up to 3.5% by 2027 from 2.5% in 2024, Fitch Ratings said on Monday, following a period marked by significant turmoil and high inflation.
LSM slips 0.74 percent in FY25 despite June rebound, far from target
Pakistan’s large-scale manufacturing (LSM) sector contracted by 0.74% in fiscal year 2025, falling significantly short of the government’s ambitious 3.5% growth target, according to data released by the Pakistan Bureau of Statistics on Friday.
Pakistan locks in 85,000 tons of sugar imports from Azerbaijan’s SOCAR to ease price surge
ISLAMABAD: Pakistan has secured Letters of Credit through Azerbaijan’s state-owned SOCAR for the import of 85,000 metric tons of sugar, a move designed to avert shortages and rein in retail prices that have soared past 200 rupees per kilogram.
Diesel drops Rs12.84, petrol unchanged
KARACHI: The government slashed the price of high-speed diesel by Rs12.84 per liter, or 4.5%, while holding petrol steady for the fortnight through August 31, responding to shifts in international oil prices.
SBP forecasts stronger growth, stable inflation, modest deficit in FY26
KARACHI: Pakistan’s central bank anticipates economic growth accelerating to as much as 4.25% in fiscal year 2026, with inflation holding steady within target as the benefits of prior interest-rate reductions continue to ripple through the economy.
Moody’s lifts Pakistan’s credit ratings to Caa1 on reserves rebound, IMF progress
KARACHI: Moody’s Ratings upgraded Pakistan’s local- and foreign-currency issuer and senior unsecured debt ratings to Caa1 from Caa2, pointing to the country’s strengthening external buffers and headway on reforms tied to its $7 billion International Monetary Fund (IMF) program.
FM Aurangzeb sees room for rate cuts
ISLAMABAD: Finance Minister Muhammad Aurangzeb signalled on Wednesday that the central bank could lower interest rates further before the end of 2025, a move aimed at sustaining the country’s nascent economic recovery.
Pakistan greenlights Rs141bn for Q1 development push as economy gains traction
ISLAMABAD: Pakistan has rolled out a Rs141 billion funding package for federal development projects in the first quarter of the 2025-26 fiscal year, part of a broader strategy to sustain a burgeoning economic recovery driven by soaring exports, a historic current account surplus, and a sharp drop in inflation, officials said Tuesday.