Pakistan Economy Hits $400B with 2.68% Growth in FY25 - Bloom Pakistan

Pakistan Economy Hits $400B with 2.68% Growth in FY25

Islamabad, May 21, 2025: In a historic leap, Pakistan Economy has officially crossed the $400 billion threshold for the first time, reflecting a steady economic recovery and improved fiscal management.

According to the latest data released by the National Accounts Committee (NAC), the country posted a GDP growth of 2.68% for the ongoing fiscal year 2024-25, marking a pivotal moment in Pakistan’s economic journey.

The NAC’s press release highlighted that the size of Pakistan’s economy now stands at PKR 114.7 trillion, which translates to USD 410.96 billion, showing significant progress from the previous year’s PKR 105.1 trillion or USD 371.66 billion.

This milestone places Pakistan among the top 40 largest economies globally, signaling renewed investor confidence and gradual sectoral stabilization.

Moreover, the per capita income has risen to PKR 509,174, or USD 1,824, indicating moderate income growth per individual. However, NAC noted that these figures are subject to revision once the backward and forward population projections based on the 2023 census are finalized.

Breaking down sectoral performance:

Agriculture posted a modest 0.56% growth, constrained by climatic challenges and supply chain bottlenecks.
Industry emerged stronger with a solid 4.77% growth, driven by improvements in large-scale manufacturing and construction.
Services registered a 2.91% increase, supported by digital expansion and financial sector growth.

While the 2.68% GDP growth might seem modest compared to regional economies like India or Bangladesh, which are targeting 6-7% growth rates, Pakistan’s current trajectory is seen as a stabilizing phase amid high inflation, tight monetary policy, and structural adjustments under IMF guidelines.

Economic analysts suggest that surpassing the $400 billion GDP mark is psychologically significant. “This milestone, while largely symbolic, reflects that Pakistan’s economy is expanding despite external debt pressures and fiscal constraints,” said Dr. Imran Khalid, a senior economist at LUMS.