ECONOMIC NEWS
MANILA: Pakistan’s economic outlook received a boost on Monday as the Asian Development Bank (ADB) raised its GDP growth projection for 2025 to 3%, up from its earlier estimate of 2.7%. The upgrade comes on the back of a stronger industrial rebound and better-than-expected economic indicators.
The revised forecast was shared in ADB’s latest country report, which highlights that Pakistan wrapped up the last quarter of the previous fiscal year with an impressive 5.7% growth rate. This surge, according to the bank, reflects a noticeable pick-up in industrial output and broad-based recovery across key sectors.
Despite initial concerns following the June 2025 floods, Pakistan’s economic activity continued to gain traction. The ADB attributes this resilience to rising private-sector borrowing, healthier consumer spending and revived investment flows. Large-scale manufacturing, in particular, has played a central role in sustaining the recovery, the report notes.
The development lender also sees the current fiscal year shaping up positively, citing a gradually improving business climate and better macroeconomic stability. Its assessment for FY 2025–26 also points to further improvement, signalling growing confidence in Pakistan’s economic direction.
However, the report warns that external headwinds—such as weak global demand and uncertainties in international trade—could still affect momentum. Even so, the ongoing revival in industry and investment is helping anchor growth prospects.
In its analysis, the ADB credits higher consumer activity and easier access to credit as key domestic forces supporting the economy. The steady rebound in investment and industrial output, it adds, is now firmly driving Pakistan’s upgraded growth outlook for 2025.
Read more: https://nayakashmir.com/pakistan-registers-nearly-15000-new-companies-in-four-months-reflecting-rising-investor-confidence/
