In Lahore, Pakistan, there has been a notable improvement in the country’s economic situation, as indicated by recent data revealing a surge in optimism and confidence among the population.
Recent statistics show a significant change in public sentiment, with the number of Pakistanis expressing confidence in the country’s positive direction increasing from 12 percent to 18 percent – the highest level recorded in the past two years.
Additionally, concerns about inflation, which have long been a focal point, have noticeably decreased. Only three in ten Pakistanis now cite inflation as their primary worry, marking the lowest figure in the last three years. This shift in attitude signals a significant change in economic outlook among citizens.
Perceptions of the country’s economic strength have also evolved considerably. The percentage of Pakistanis describing the economy as ‘strong’ has quadrupled since the beginning of the year, rising from four percent to 16 percent. This increase in positive sentiment represents the most substantial rise in the past five years, excluding a single spike in September 2021.
Furthermore, consumer confidence in both daily household expenses and major purchases has seen a significant increase. The proportion of Pakistanis comfortable with daily household spending has risen 2.5 times, from four percent to 10 percent, since the beginning of the year. Even more striking is the nearly fourfold increase in confidence regarding significant purchases.
There has also been steady growth in confidence regarding saving for the future, with the percentage of Pakistanis expressing belief in their ability to save rising from 11 percent to 15 percent. This upward trend has remained consistent since September 2023, indicating signs of stable and sustainable economic progress.
Job security, a crucial aspect of overall economic confidence, has also seen a slight improvement, with confidence levels rising from 12 percent to 15 percent in the last quarter, further reinforcing positive sentiment.
Pakistan has experienced positive changes in three of the four sub-indices of the consumer confidence index, resulting in an overall increase of 0.8 points. The current consumer confidence index stands at 32.3, representing the most favorable outlook in the past three years.
These findings reflect a cautiously optimistic outlook for Pakistan’s economy, with improving perceptions evident across various dimensions of economic life. While challenges remain, the data highlights a growing confidence among Pakistanis in their economic future.
