ISLAMABAD: Pakistan’s major industries have claimed the highest production of the last 21 months during December and agriculture, petroleum, textile and pharmaceutical industries have a significant share in this production.
In its report released on Thursday by the Bureau of Statistics, it has been said that major industrial production has increased by 3.43% during December 2023 compared to December 2022, while if compared to November 2023, industrial production during December 2023 15 has increased by 69%, but if we look at the first half of the current financial year (July to December), industrial production has decreased by 0.39% during the same period of the previous financial year.
According to the Bureau of Statistics, there is an increase in the production of food, beverages, clothing, petroleum products, chemicals, fertilizers, medicines, non-mineral goods, machinery and other goods during July-December 2023 compared to July-December 2022, while tobacco, Production of iron and steel, electrical appliances, furniture and others declined.
Tahir Abbas, Head of Research, Arif Habib Limited, said that the government’s policy of gradual revival of local economies has also benefited large industries and increased their production.
He further said that despite the 0.39 percent decrease in production during the first half of this fiscal year, an increase of 2 to 2.5 percent has been estimated in industrial production by the end of this fiscal year. The biggest part will be the food sector as the production of wheat and sugarcane crops has been very strong this year.
Taber Abbas said that the textile sector also contributed to the positive increase in industrial production, although there was a 2 percent decrease in textile production in the first half of the year, but it is hoped that the production of the textile sector will improve at the end of the second half of the year. will have an impact on overall industrial production.
In response to a question, Tahir Abbas said that there is a positive increase in production from industries as the central bank is expected to cut interest rates by an overall 3 to 4 percent during the second half of this fiscal year. After which big industries will have ease in getting credit and its effect will be seen in their production.
It should be noted that currently the interest rate in Pakistan is at a record level of 22% due to which there was a severe impact on the industrial activities and the economic growth rate was reduced during the last financial year.
