The government of Pakistan has set a 4.2% GDP growth target for the fiscal year 2025–26, according to sources cited by ARY News. This reflects a balanced and cautiously optimistic fiscal strategy, aiming to curb inflation at 7.5% despite global and domestic economic challenges.
The agriculture sector is expected to play a key role, with a 4.5% growth target. Major crops are projected to grow by 6.7%, cotton output by 7%, livestock by 4.2%, forestry by 3.5%, and fisheries by 3%.
The industrial sector is set to grow by 4.3%, with large-scale manufacturing expected to rise by 3.5%, and small-scale industries by a notable 8.9%. Mining is projected at 3%, construction at 3.8%, and utilities (electricity, gas, water) at 3.5%.
In the services sector, a 4% growth target has been established. Key subsectors include:
- Wholesale & retail trade: 3.9%
- Transport & communication: 3.4%
- Hospitality & food services: 4.1%
- Information & communication: 5%
- Financial services: 5%
- Real estate: 4.2%
- Public administration: 3%
- Education: 4.5%
- Health services: 4%
On the investment side, the investment-to-GDP ratio is set at 14.7%, with public investment at 3.2% and private investment at 9.8%. National savings are forecasted to reach 14.3% of GDP.
This framework is designed to support steady economic progress while ensuring inflation control, structural reforms, and greater sectoral contribution across agriculture, industry, and services.
