Do you believe them?
The real gross domestic product (GDP) growth in the current (2009-10) fiscal year (FY10) is likely to be around the annual target of 3.3 percent. However, inflation, import, export and fiscal deficit targets are difficult to achieve during the current fiscal year.
This was stated by the State Bank of Pakistan in its First Quarterly Report on the State of the Economy for FY10 released on Tuesday. The report said that the major impetus for this growth was expected to come from the services sector, and added that the prospects of returning to macroeconomic stability had improved in the initial months of FY10.
The report said that the country is unlikely to achieve exports target due to slow external growth and, as per SBP projections, overall exports would be 18.5-19 billion dollars in FY10, against the target of 19.9 billion dollars for the current fiscal year. In addition, imports have been projected at 30.5-31 billion dollars over the target of 28.7 billion dollars for FY10.
Economists and accountants are quite unsure about the economic outlook. Pakistanacca.com contacted Mr. Kharadi, an accountant at Kharadi Industries, and according to him financial data is alone not enough to evaluate economic outlook. Non financial factors, such as threat of terrorism, are also destroying the image and effecting all growth targets.
We further asked him what major factors will play the role for the growth of Pakistan’s economy. And he combined them in two words. Green Energy Solutions and Security!