Pakistan economy is driven by micro and small enterprises, with 95 percent of all businesses employing fewer than 10 workers, according to the Pakistan Bureau of Statistics (PBS) Economic Census 2023 released on Thursday. The findings underline the backbone role of these small establishments in the national economy.
The census mapped seven million establishments across the country, classifying them into 99 industrial sectors. Wholesale and retail trade emerged as the largest sector with 2.9 million businesses, followed by manufacturing (696,558), education (326,868), and health and social work (123,973).
Alongside formal businesses, the report also highlights household-based economic activities, with 10.9 million units engaged in various forms of informal work. Animal farming alone accounts for 5.6 million units, while tailoring, embroidery, carpet weaving, poultry, and tuition centres make up other significant segments. These activities are particularly important for women’s empowerment and rural employment.
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Chief Statistician Dr. Naeem uz Zafar said the census forms the basis of Pakistan’s first Statistical Business Register (SBR), which will guide policymaking for SMEs, labour market surveys, and the digital economy. He urged policymakers to pay greater attention to the informal sector alongside large industries.
PBS officials also noted that integrating the Economic Census with the 7th Population & Housing Census saved Rs7 billion and created a consolidated database for future planning.
