Pakistan Economy Starts FY26 Strong with 3.71% Growth

Pakistan’s economy expanded by 3.71 percent in the July-September quarter of fiscal year 2025-26, a notable rise from the same period a year earlier.

Federal Minister for Planning, Development and Special Initiatives Ahsan Iqbal shared these figures in a post on X on Tuesday. He described the performance as a positive change in the country’s economic path, with growth 2.15 percentage points higher than the first quarter of FY25.

Last fiscal year saw inconsistent quarterly increases: 1.56 percent, 2.03 percent, 2.66 percent, and 6.17 percent. This time, the opening quarter has already doubled the year-ago rate.

Much of the gain came from the industrial sector, which surged 9.38 percent—far above the 0.12 percent recorded in the prior year’s first quarter.

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These results arrived amid tough conditions, such as floods in 2025, tighter fiscal policies, the removal of energy subsidies, and higher food prices.

Iqbal pointed out that the numbers show the economy’s growing strength. They also highlight the effects of government steps taken to steady finances and support recovery.

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