ISLAMABAD (June 05, 2015) – The finance ministry of Authorities of Pakistan yesterday revealed the annual Economic Survey of Pakistan for the yr 2014-15. Highlights of this publication are being introduced here.
Click on the links under to go on to that part:
- Progress and Funding
- Manufacturing and Mining
- Fiscal Improvement
- Cash and Credit
- Capital Markets
- Trade and Funds
- Public Debt
- Health and Vitamin
- Inhabitants, Labour drive and Employment
- Transport and Communications
- Power Sector
- Poverty and Social Safety Nets
- 1 Progress and Investment
- 2 Agriculture
- 3 Manufacturing and Mining
- 4 Fiscal improvement
- 5 Money and Credit
- 6 Capital Markets
- 7 Inflation
- 8 Commerce and Payments
- 9 Public Debt
- 10 Schooling
- 11 Well being and Vitamin
- 12 Population, Labour pressure and Employment
- 13 Transport and Communications
- 14 Power
- 15 Social Safety Nets
- 16 Setting
Progress and Investment
- International financial progress in the course of the outgoing yr has witnessed some persevering with indicators of enchancment with a pick-up in high-income economies together with some enchancment in creating nations.
- China and Pakistan have made agreements to determine China Pakistan Economic Hall between the two nations. The corridor will function a driver for connectivity, trade on the planet is predicted to extend and Pakistan will take advantages by means of multiple dimensions.
- Major trading companions of Pakistan are growing with better outlook, which will definitely have constructive influence on the financial system of Pakistan and offers a chance to uplift socio-economic situation of widespread man within the nation.
- Pakistan is enhancing quantitatively and qualitatively as progress achieved 4.24 % is broad based mostly and is the very best achievement since 2008-09.
- Major success of the outgoing fiscal yr consists of: choosing up financial progress, inflation contained at lowest degree since 2003, enchancment in tax assortment, discount in fiscal deficit, worker remittances touches new peak, successful launching of Sukuk, overseas trade reserves significantly increased and inventory market created new history.
- The GDP progress accelerates to 4.24 % in 2014-15 towards the growth of 4.03 % recorded in the same interval last yr. The growth momentum is broad based mostly, as all sectors specifically agriculture, business and providers have supported economic progress.
- The agriculture sector accounts for 20.9 % of GDP and 43.5 % of employment, the sector has robust backward and forward linkages. The agriculture sector has four sub-sectors including: crops, livestock, fisheries and forestry.
- The economic sector contributes 20.30 % in GDP; additionally it is a serious source of tax revenues for the government and additionally contributes significantly within the provision of job alternatives to the labour drive.
- Industrial sector continued progress course of and recorded progress at 3.62 % as in comparison with 4.45 % last yr.
- The manufacturing is crucial sub-sector of the economic sector comprising 65.four % share within the general industrial sector. Progress of producing is registered at three.17 % compared to the growth of four.46 % last yr.
- Manufacturing has three sub-components; specifically the Giant-Scale Manufacturing (LSM) with the share of 80 %, Small Scale Manufacturing with the share of 13 % and Slaughtering with the share of seven %.
- Small scale manufacturing witnessed progress at eight.24 % towards the growth of eight.29 % final yr and slaughtering progress is recorded at three.32 % as in comparison with three.40 % last yr.
- LSM has registered the expansion of two.38 % as compared to the growth of 3.99 % final yr.
- The share of development in industrial sector is 12 % and is likely one of the potential elements of industries. The construction sector has registered a progress of seven.05 % towards the expansion of 7.25 % of last yr.
- Mining and quarrying sub-sector accommodates 14.four % share of the economic sector. This sub- sector witnessed a progress of three.84 % as compared to 1.65 % progress of last yr.
- Electrical energy era & distribution and Fuel Distribution is probably the most important element of commercial sector. This sub-sector has registered progress at 1.94 % as compared to 5.57 % in final yr.
- The share of the providers sector has reached to 58.8 % in 2014-15. Providers sector accommodates six sub-sectors including: Transport, Storage and Communication; Wholesale and Retail Commerce; Finance and Insurance coverage; Housing Providers (Ownership of Dwellings); Basic Authorities Providers (Public Administration and Protection); and Different Personal Providers (Social Providers).
- The Providers sector has witnessed a progress price of four.95 % as in comparison with 4.37 % last yr. The expansion efficiency in providers sector is broad based mostly, all elements contributed positively in progress, Finance and Insurance at 6.1 %, Common Government Providers at 9.4 %, Housing Providers at 4.zero %, Different Personal Providers at 5.9 %, Transport, Storage and Communication at 4.2 % and Wholesale and Retail Commerce at three.four %.
- Three major drivers of financial progress are consumption, funding and export. Pakistani society like different creating nations is a consumption oriented society, having high marginal propensity to eat.
- The personal consumption expenditure in nominal terms reached to 79.20 % of GDP, whereas public consumption expenditures are 11.84 % of GDP. Complete consumption expenditures have reached to 91.04 % of GDP in outgoing fiscal yr compared to 91.46 % of final fiscal yr.
- Per capita revenue in dollar phrases recorded a big progress of 9.25 % in 2014-15 as compared to three.83 % final yr. The per capita revenue in dollar phrases has reached to $1,512 in
- Complete funding is recorded at 15.12 % of GDP, Fix investment is registered at 13.52 % of GDP. Personal investment witnessed at 9.66 % of GDP. Funding has been exhausting hit by inner and exterior elements during the previous few years but now state of affairs is enhancing.
- Complete funding witnessed a progress of 10.21 % as in comparison with eight.4 % final yr. Public funding recorded a powerful progress price at 25.56 % as in comparison with 6.82 % final yr.
- Complete funding which was recorded at Rs.3756 billion in 2013-14 elevated to Rs.4140 billion for 2014-15.
- Public funding which was recorded at Rs.842 billion in 2013-14 is reported at Rs.1057 billion in 2014-15.
- Public funding as a % of GDP elevated to three.86 % towards the 3.36 % final yr.
- Throughout July-March, 2014-15 credit to non-public sector flows increased to Rs.228.2 billion towards the enlargement of Rs.305 billion in the comparable period final yr.
- Nationwide savings are 14.5 % of GDP in 2014-15 compared to 13.7 % in 2013-14. Domestic financial savings is witnessed at 8.4 % of GDP in 2014-15 as in comparison with 8 % of GDP
in 2013-14. Internet overseas resource inflows are financing the saving funding gap.
- Current authorities has launched comprehensive plan to create investment pleasant setting and to draw overseas buyers in the country. As is clear, the capital market has reached to new peak and emitting constructive alerts for restoring the investor’s confidence.
- Pakistan’s policy tendencies have been constant, with liberalization, de-regulation, privatization, and facilitation being its foremost cornerstones. Board of Investment (BOI) beneath the Prime Minister’s workplace has accredited funding policy to offer extra funding pleasant surroundings to buyers.
- Overseas personal funding has reached to $1666.2 million throughout July-April 2015 as compared to
$1050.three million displaying 58.6 % larger as compared to final yr. Out of complete overseas funding, the FDI influx has reached to $2057.3 million.
- The main influx of FDI is from US, Hong Kong, UK, Switzerland and UAE. Oil & fuel exploration, monetary enterprise, energy, communications and Chemical compounds remained major recipients.
- The government can also be aiming to discover new markets to export its manpower in addition to incentives for the remittances to further enhance its progress. The obtainable knowledge recommend inflow of the remittances for the period of July-April 2014-15 stood at $ 14969.66 million compared to $12897.91 million in the course of the corresponding interval last yr, which is 16.06 % larger over the earlier period.
- The agriculture progress stood at 2.9 % throughout July-March, 2014-15 as in comparison with 2.7 % over the past yr.
- Throughout 2014-15, cotton production stood at 13,983 thousand bales as compared to 12,769 thousand bales in 2013-14 and registered a rise of 9.5 %.
- Wheat production decreased to 25,478 thousand tonnes in 2014-15 as in comparison with 25,979 thousand tonnes in 2013-14 displaying a decrease of 1.9 %.
- Rice manufacturing has increased to 7,zero05 thousand tonnes in 2014-15 as compared to 6,798 thousand tonnes in 2013-14 displaying an increase of three.zero %.
- Sugarcane production has decreased to 62,652 thousand tonnes in 2014-15, as compared to
67,460 thousand tonnes final yr, and registered a lower of seven.1 %.
- Maize manufacturing had decreased to 4,695 thousand tonnes in 2014-15, as in comparison with 4,944 thousand tonnes in 2013-14 displaying a lower of 5.0 %.
- Different crops that contributed 11.1 % value addition in agriculture witnessed a constructive progress of 1.1 % in 2014-15, towards unfavourable progress of 5.four % throughout the identical period last yr.
- Gram production has elevated to 484 thousand tonnes in 2014-15 as in comparison with 399 thousand tonnes in 2014-15, displaying an increase of 21.3 %.
- During July-March 2014-15, the manufacturing of Potatoes, Moong, Onions and Chillies increased by 6.3 %, 6.2 %, 1.3 % and zero.three %, respectively. Whereas manufacturing of other pulses Mash and Masoor (Lentil) decreased by 12.7 and 5.eight %, respectively.
- During July-March, 2014-15 about 446.1 thousand tonnes of improved seeds of varied
Kharif/Rabi crops have been procured.
- During July- March, 2014-15, the banks have disbursed Rs. 326.zero billion which is 65.2 % of the general annual target of Rs. 500 billion and 27.5 % greater than disbursement of Rs.255.7 billion made through the corresponding interval final yr. The banks have been capable of obtain 65 % of their annual indicative targets of Rs 500 billion.
- Throughout 2014-15, the supply of water for Kharif 2014 stood at 69.3 MAF displaying an increase of 5.eight % more than Kharif 2013 and three.3 % more than the traditional supplies of 67.1 MAF. The water availability throughout Rabi season 2014-15 is estimated at 33.1 MAF, which is 1.8 % larger than Rabi 2013-14 however 9.1 % lower than the traditional availability of 36.4 MAF.
- Kharif 2014 started with stock of 386 thousand tonnes of urea. Complete availability of urea (together with 122 thousand tonnes of imported provides and 2451 thousand tonnes of domestic production) was about 2959 thousand tonnes towards the offtake of 2716 thousand tonnes, leaving a listing of 184 thousand tonnes for Rabi 2014-15.
- Complete availability of DAP during Kharif 2014 was 1023 thousand tonnes comprising 99 thousand tonnes of inventory, 524 thousand tonnes of imported provides and 400 thousand tonnes of native production. DAP offtake was 586 thousand tonnes leaving closing stability of 430 thousand tonnes for coming Rabi 2014-15.
Manufacturing and Mining
- Giant Scale Manufacturing (LSM) throughout July-March 2014-15 registered a progress of 2.5 % as in comparison with four.6 % in the same period last yr. The Yr on Yr (YoY) progress for March 2015 stood at four.5 % as towards unfavorable progress of 1.0 % in March 2014.
- The sub sectors recorded unfavourable progress in the course of the interval July-March FY 2014-15 over corresponding interval of final yr incldes Wooden Product declined by 78.46 %, Engineering Products 10.68 %, Paper and Board 7.26 %, Meals Beverage and Tobacco 1.03 % and Rubber merchandise 0.56 %.
- The sector displaying progress throughout July-March 2014-15 resembling Iron and Steel Products 35.63 %, Cars 17.02 % ,Leather Merchandise 9.62 %, Electronics 8.21 %, Prescription drugs 6.38 % , Chemical compounds 5.94 % , Non Metallic mineral merchandise 2.56 %, Coke & Petroleum Products four.73 % , Fertilizers zero.95 % and Textile 0.50 %.
- Vehicle sector resembling vans, tractors, automobiles & jeeps and LCVs registered progress of 53.9 %, 44.6 %, 23.1 % and 31.2 %, respectively.
- Mining and Quarrying sector grew by three.eight % in 2014-15 as towards 1.6 % last yr. Soap stone, Crude oil, Gypsum, Coal and Lime Stone posted a constructive progress price of 41.68 %, 14.03 %, eight.11 %, four.12 % and 3.73 %. Nevertheless, some witnessed adverse progress price through the period beneath evaluation similar to Phosphate 47.75 %, Dolomite
46.87 %, Sulphur 42.06 %, Bauxite 25.69 % and Magnesite 7.44 %.
- Throughout July-March of 2014-15, fiscal deficit as % of GDP was contained at 3.eight % towards three.9 % in the same period of fiscal yr 2013-14.
- Complete expenditure of Rs.5, 642.4 billion was estimated for the complete yr, comprising of Rs.four, 462.3 billion of current expenditure and Rs.1, 180.1 billion of improvement expenditure and internet lending.
- During July-March, 2014-15, complete expenditures stood at Rs.3731.6 billion towards Rs.three, 446.2 billion in the identical interval of fiscal yr 2013-14, thus posted a progress of eight.3 %. Of which, present expenditure grew at 10.1 % and amounted to Rs.3,199.1 billion towards Rs.2,904.6 billion within the comparable period final yr.
- Improvement expenditure and internet lending grew by 6.9 % during July-March, 2014-15 and reached to Rs.594.zero billion towards Rs.555.8 billion in the identical period last yr.
- PSDP has witnessed a progress of 27.1 % and reached at Rs.499.four billion towards Rs.393.0 billion in the comparable interval of fiscal yr 2013-14. General improvement expenditures registered a exceptional progress of 23.four % throughout the same period. Inside PSDP, Federal and Provincial PSDP grew by 7.6 and 46.zero %, respectively, throughout first 9 months of current fiscal yr towards.
- Complete income elevated by 8.3 % throughout July-March, 2014-15 and stood at Rs.2,682.6billion as compared to Rs.2,477.4billion in the same interval of 2013-14.
- Tax revenues amounted to Rs.2, 063.2 billion towards Rs.1,786.2 billion in the same period final yr, thus posted a progress of 15.5 %. Vital progress in tax revenues was primarily on account of considerable rise in federal tax assortment of 16.2 %.
- Non tax revenues posted a unfavourable progress of 10.4 % during July-March,2014-15, and amounted to Rs.619.5 billion towards Rs.691.2 billion in the identical interval last yr.
- Fiscal accounts witnessed respite on account of decreased subsidies, which remained lower than last yr as it stood at Rs.185.9 billion throughout July-March,2014-15 towards Rs.201.8 billion in the same interval of fiscal yr 2013-14.
- Following a progress of eight.6 % in provincial taxes and 8.8 % in federal transfers, provincial surplus amounted to Rs.194.zero billion.
- During July-April, 2014-15, FBR has collected Rs.1972.four billion as provisional tax revenues towards Rs.1744.9 billion reflecting a progress of 13.zero %.
- During July-April, 2014-15, Direct taxes remained a serious source of FBR tax revenue collection, contributing 39.three % of complete FBR revenues. Internet assortment was estimated at Rs.775.9 billion towards Rs.658.1billion within the comparable period of fiscal yr 2013-14.
- Indirect taxes elevated 10.1 % in first ten months of present fiscal yr and accounted for 61.zero % of complete FBR assortment. Internet collection was estimated at Rs.1,196.5billion towards
Rs.1,086.9billion in the same interval last yr.
Money and Credit
- In the course of the present fiscal yr, SBP lowered the coverage price by a cumulative 300 bps to 7.0 % w.e.f 25th Might, 2015 which is the bottom price in final 42 years reflecting improved macroeconomic circumstances in the direction of the top of fiscal yr 2014-15.
- Broad Money (M2) witnessed a rise of 7.33 % throughout July-Eighth Might, 2014-15 towards the enlargement of seven.05 % within the comparable period last yr.
- Reserve Money grew at 11.51 % during July-Eighth Might, 2014-15 towards the expansion of 9.84 % within the comparable interval final yr. Internet Overseas Belongings (NFA) of SBP remained the primary driver of reserve money progress through the present fiscal yr.
- Inside Broad Money, Internet Overseas Belongings (NFA) of the banking sector witnessed a rise and reached to Rs.220.1 billion during July-8th Might, 2014-15 as towards the web enlargement of Rs.243.7 billion in the comparable period of fiscal yr 2013-14.
- NDA of the banking sector grew at 5.45 % (Rs.510.5 billion) throughout July-8th Might, 2014-15 as compared to internet enlargement of 4.43 % (Rs.380.6 billion) in the same interval last yr.
- The federal government borrowing from the banking system for budgetary help and commodity operations stood at Rs.579.7 billion throughout July-Eighth Might, 2014-15 as compared to Rs.175.1 billion within the comparable interval final yr.
- Inside the banking system, authorities has retired Rs.532.4 billion to SBP during July-8thMay,
2014-15 towards the retirement of Rs.10.5 billion in the identical interval last yr.
- However government has borrowed Rs.1,133.6 billion during July-Eighth Might,2014-15 as compared to Rs.250.6 billion in the identical interval last yr. Vital borrowing from scheduled banks for budgetary help in the course of the present fiscal yr displays a serious shift from the central financial institution to scheduled banks due to State Bank of Pakistan (SBP) Modification Act 2012, which required internet zero government borrowing from the SBP at the finish of every quarter.
- Throughout July-8th Might,2014-15, loans for commodity operations witnessed a internet retirement of
Rs.20.8 billion towards the retirement of Rs.65.zero billion witnessed in the identical interval last yr.
- Credit score to non-public sector elevated to Rs.161.7 billion throughout July- 8th Might, 2014-15 towards the enlargement of Rs.292.9 billion in the identical period of last yr, thus posted a progress of 4.3 % as compared to 8.7 % in the comparable interval of last yr. Nevertheless, despite low enlargement, credit score to non-public sector posted a progress of 6.6 % on yr on yr basis as on 8th Might,2014-15 towards the expansion of 5.2 % recorded in the identical interval final yr.
- Following a decline in policy price, weighted common lending fee on recent disbursements has additionally lowered from 10.53 % in March, 2014 to 9.31 % in March,2015. Equally, weighted average deposit price provided on recent deposits additionally lowered from 5.80 % in March, 2014 to
5.22 % in March, 2015.
- Pakistan ranked third in calendar yr 2014 amongst the top ten greatest performing markets on the earth. Pakistan was capable of safe a spot in the prime ten for the third consecutive yr now.
- In 2014, the KSE-100 Index gained 6,870 factors from 25,261 to 32,131 degree, generating a handsome return of 27 % (31 % return in US$ terms) for the buyers.
- In the course of the first ten months (Jul-Apr, 2014-15) of present fiscal yr, the Karachi Inventory Trade (KSE) benchmark-100 Index increased by four,077 factors and closed at 33,730 points on 30th April towards 29,653 on June 30, 2014 displaying a achieve of 13.75 % throughout first ten months of present fiscal yr despite political turmoil during first half of the present yr.
- The numerous efficiency of the stock market during current fiscal yr might be attributed to a lot of constructive elements together with a secure macroeconomic surroundings, relative secure change price, acceleration in the privatization course of, downward inflationary development, prudent financial policies and strengthened economic progress.
- Market capitalization has increased by 4.03 % or from Rs.7,zero22.70 billion on June 30, 2014 to Rs.7,305.81 billion on April 30, 2015.
- In the course of the first three quarters of the current fiscal yr 2014-15, the mixed paid-up capital of fifteen massive corporations was Rs.190.24 billion, which constituted 16.15 % of the entire listed capital at KSE.
- China Shanghai Composite index showed a strong progress of 117 %, Japan Nikkei improved by 28.7 % while Hong Kong Grasp Seng increased by 21.three % through the period underneath evaluate. Whereas, India’s Sensex increased only by 6.3 %, US S&P by 6.four % and UK FTSE by three.2 % during July-April 2014-15. KSE progress of 13.75 % during this era remained better than the a number of the regional and international markets.
- In the course of the period July 2014 to December 2014, five debt securities have been issued which embrace two domestic Sukuk amounting to Rs. 26 billion, one international Sukuk of Rs. 100 billion (US$ one billion) and two Privately positioned Time period Finance Certificates amounting Rs. 6 billion.
- The SECP has issued Sukuk Regulation, 2015 beneath Section 506A of the Corporations Ordinance,
1984 which require appointment of Shariah Advisor and Funding Agent. An environment friendly, broad- based mostly and well-regulated Sukuk market will tremendously help in the event of capital market. The aim of creating the Sukuk laws is to facilitate the issuers for fund elevating from the capital market.
- The inflation price measured by the modifications in CPI, averaged at 4.eight % throughout July-April, 2014-15 towards 8.7 % within the comparable interval last yr, which is lowest since 2003.
- The food inflation on common foundation in July-April, 2014-15, is estimated at 3.6 % and non- food 5.7 %, as towards 9.three % and 8.2 % within the corresponding period last yr.
- CPI meals gadgets have declining development in prices of potatoes, vegetable ghee, cooking oil, wheat, rice and eggs.
- Core inflation on common basis throughout July-April, 2014-15, stood at 6.9 % towards 8.three % last yr.
- WPI during July-April, 2014-15, on annual average basis has recorded a rise of zero.03 % towards eight.3 % last yr.
- The wholesale prices of non-food gadgets, whose costs decreased from previous yr are furnace oil, kerosene oil, diesel, cotton yarn, cleaning soap, printing paper and cement.
- SPI recorded an increase of 1.9 % throughout July-April, 2014-15 towards 9.8 % last yr.
- Inflation has been contained throughout present fiscal yr on account of higher provide place of main and minor crops, and common monitoring of costs and supply chain by the Nationwide Worth Monitoring Committee.
- Nationwide Worth Monitoring Committee chair by Federal Finance Minister, monitor costs of important commodities in session with provincial governments and involved Federal Ministries/Divisions and group.
Commerce and Payments
- Pakistan’s general exterior account stability posted a surplus of US $ 2.12 billion during Jul-Apr 2014-15 towards US $1.95 billion in the corresponding interval final yr on account of marked improvement within the present account and substantial overseas change inflows.
- The current account deficit stood at US$1.4 billion throughout Jul-Apr 2014-15, which was 53.5 % lower than the deficit of US $ 2.9 billion in Jul-Apr 2013-14.
- Providers account deficit remained decrease and stood at $1,632 million throughout July-April 2014-15 as in comparison with $ 2,349 million during the identical interval last yr. Decrease providers account deficit was because of inflows of US $ 1.5 billion beneath CSF. Decrease freight expense (as delivery corporations have apparently started passing on the impression of cheaper oil) additionally offered some aid.
- Capital and Monetary account recorded a decrease surplus of US $ 3.2 billion during Jul-Apr 2014-15 compared to US $ 5.three billion throughout the same period final monetary yr.
- Worker’s remittances recorded a rise of 16.1 % throughout Jul-Apr 2014-15 and reached to
$14,969.7 million as towards $ 12,897.9 million in the comparable interval of final yr.
- Overseas trade reserves improved substantially and reached US $17.8 billion by end of April
2015, from US $ 14.2 billion at end June 2014.
- Pak Rupee recorded a depreciation of 2.9 % in Jul-April FY 15. The Trade fee which at the end of June 2014 was RS 98.80/$ went up by the top of April 2015 to Rs 101.75/$.
- Because of GSP Plus, Pakistan’s exports to EU have elevated from US $ 6.21 billion during
2013 to US $ 7.54 billion in 2014. Thus because of GSP Plus, Pakistan’s exports to EU
registered an increase of US $ 1.32 billion in a single yr. This represents a rise of 21 %.
- As per SBP knowledge exports in the course of the first ten month (July-April) of the present yr stood at US$20,176 million towards US $ 20,834 million during corresponding interval final yr.
- Imports in the course of the first ten months (July-April) declined by 1.6 % compared with the identical interval final yr and stood at $ 34,zero86 million towards $34,645 million similar period final yr.
- Based mostly on SBP knowledge, commerce deficit posted marginal improve of round 0.7 % during Jul-Apr FY15 primarily as a result of decline in Exports. Trade account stability recorded deficit of US $ 13,910 million throughout Jul-April FY15 as towards US $ 13,811 million corresponding interval last yr.
- Public debt was recorded at Rs.16,936 billion or 61.8 % of GDP as at end-March 2015 compared with 62 % during the same interval final yr.
- Public debt recorded an increase of Rs.940 billion during first 9 months of current fiscal yr as compared with Rs.1,272 billion throughout the same interval last yr.
- The primary supply of improve in public debt was in domestic debt that positioned at Rs.11,932 billion representing a rise of Rs.1,012 billion, whereas, exterior debt posed at Rs.5,004 billion representing a decrease of Rs.72 billion as compared to end June 2014.
- Government made progress in attaining the targets set beneath Pakistan’s first Medium Term Debt Administration Strategy (2013/14 – 2017/18) as the government was capable of scale back its refinancing danger by re-profiling its domestic debt and growing the exterior inflows.
- Pakistan successfully returned to the Worldwide Islamic Bond market in November 2014 with the issuance of US$ 1 billion Pakistan International Sukuk.
- Pakistan has develop into eligible for concessional IBRD funding which might be used to fund priority infrastructure / improvement tasks.
- Throughout July-March, 2014-15, public debt servicing was recorded at Rs.1,193 billion towards the annual budgeted estimate of Rs.1,686 billion. Public debt servicing consumed almost 44.5 % of complete revenues during first 9 months of current fiscal yr towards a ratio of 47 % throughout the identical interval last yr.
- EDL inventory was recorded at US$ 62.6 billion as at end March 2015 out of which external public debt was US$ 49.1 billion. Public exterior debt witnessed a decline of US$ 2.three billion throughout first 9 months of current fiscal yr.
- Throughout first 9 months of 2014-15, disbursements together with loans and grants stood at US$4,001 million compared with US$ 2,301 million throughout the same period last yr.
- Pakistan additionally acquired US$ 2,106 million from the IMF. Importantly, internet inflows from the IMF stood at US$ 1,041 million during first 9 months of current fiscal yr in contrast with internet outflow of US$ 861 million throughout the identical interval last yr.
- Servicing of EDL fell by US$ 1,282 million in first nine months of current fiscal yr as compared to the same interval last yr and recorded at US$ 5,303 million. Out of this complete, principal repayments have been US$ 3,291 million and interest payments have been US$ 812 million, whereas an amount of US$ 1,200 million was rolled over. Among the many principal repayments, US$935 million of multilateral debt and US$ 1040 million of IMF accounted for a lot of the share.
- In line with the newest Pakistan Social and Dwelling Standards Measurement (PSLM) Survey 2013-14, literacy remains greater in city areas (74 %) than in rural areas (49 %), and is more prevalent for males (81.0 %) compared to ladies (66.0 %) in urban areas.
- Province clever knowledge suggests that Punjab leads with 61 % adopted by Sindh with 56 %, Khyber Pakhtunkhwa with 53 % and Balochistan with 43 %.
- Government of Pakistan is presently spending 2.1 % of its GDP on schooling sector and is absolutely committed to reinforce schooling spending from 2.1 % of GDP to 4.0 % of GDP by 2018.
- GER on the main degree excluding Katchi (prep) for the age group 5-9 years at national degree throughout 2013-14 recorded at 90.zero % as compared to 91 % in 2012-13.
- Amongst the provinces, Punjab has proven vital efficiency by attaining Main degree GER at 100.zero % towards 98 % in 2012-13 whereas different provinces have carried out negatively i.e. Sindh GER declined to 76 % in 2013-14 towards 81 % in 2012-13 and Khyber Pakhtunkhwa additionally declined to 89 % in 2013-14 towards 91 % in 2012-13 whereas Balochistan GER also declined to 67 % in 2013-14 as in comparison with 73 % in 2012-13.
- Internet Enrolment Rates (NER) at the nationwide degree throughout 2013-14 remained at 57 %.
- Province clever comparability reveals that Punjab NER slightly improved to 64 % in 2013-14 as in comparison with 62 % in 2012-13 whereas NER of Khyber Pakhtunkhwa remained at 54 %. Sindh NER declined to 48 % in 2013-14 as compared to 52 % in 2012-13; while Balochistan witnessed declined to 39 % in 2013-14 as compared to 45 % in 2012-13.
- At nationwide degree, the full number of enrolments during 2013-14 was recorded at 42.1 million as in comparison with 41.1 million throughout the identical period final yr. This means a rise of two.four % and it is estimated to extend to 43.four million throughout 2014-15.
- The number of institutes which stood at 240.9 hundreds throughout 2013-14 as in comparison with 241.5 hundreds throughout last yr. This exhibits a slightly decline of 0.2 %. Nevertheless, the number of institutes is estimated to increase to 244.9 hundreds during 2014-15.
- The number of academics throughout 2013-14 was recorded at 1.53 million as compared to 1.55 million throughout final yr displaying a decline of 1.2 %. This variety of academics is estimated to extend further to 1.57 million in the course of the yr 2014-15.
- Beneath Prime Minister’s “Hunarmand Pakistan Program” short-term talent improvement coaching as much as six-month period courses was carried out in collaboration with public and personal sector coaching institutes. It covers 4 precedence sectors including: Development, Agriculture (Dairy & Livestock), IT & Telecommunication and Expertise for Ladies. Up to now, 116,776 trainees have been educated.
- HEC can also be contributing to play its position in operating totally different scholarship programmes to reinforce educational qualification at numerous ranges on benefit basis consistent with specified criteria. In the course of the interval 2008-14, a complete variety of 10,376 Scholarships have been awarded underneath totally different programmes of HEC.
- Underneath Prime Minister’s Charge Reimbursement Scheme for less developed areas, Reimbursement to round 50,000 college students of much less developed areas is being carried out throughout 2014-15.
- The Authorities of Pakistan has allocated Rs.20.021 billion in PSDP 2014-15 for 191 improvement tasks (136 ongoing and 55 new ) of HEC with major give attention to Human Useful resource Improvement via benefit and Want based mostly scholarships.
Well being and Vitamin
- In the whole country, there are 1,142 hospitals, 5,499 dispensaries, 5,438 primary well being models and 671 maternity and baby health centre as compared to 1,113 hospital, 5,413 dispensaries, 5,571
primary health models and 687 maternity and baby health centre’s in the identical interval of final yr.
- The variety of docs has increased to 17,5223, dentists 15,106, nurses 90,276 and hospital beds 118,041 in the nation during 2014-15 compared to 167,759 docs, 13,716 dentists, 86,183 nurses and 118,378 hospital beds final yr. The inhabitants and health amenities ratio labored out
1,zero73 individuals per docs, 12,447 individuals per dentist and 1,593 individuals per hospital bed. It was
1,099 persons per doctor, 13,441 per dentist and availability of 1 bed for 1,557 individuals in 2013-14.
- During 9 months of 2014-15, 3,500 docs, 350 dentists, three,300 nurses and four,500 paramedics have accomplished their educational programs and 3,900 new beds have been added in the hospitals compared to 5,000 docs, 500 dentists, 3,150 nurses, 4,500 paramedics and three,600 beds in final yr.
- Furthermore, some 6 million youngsters have been immunized and 20 million packets of ORS have been distributed.
- Various well being program are carried out, which embrace Malaria, TB, AIDs and Food and
- For the present yr a total outlay for health sector is budgeted at Rs.114.2 billion which included
Rs.31.9 billion for improvement and Rs.82.3 billion for present expenditure which is equal to
0.42 % of GDP during 2014-15.
Population, Labour pressure and Employment
- Pakistan’s estimated inhabitants is 191.71 million in 2015 nevertheless; inhabitants was 188.0 million
- Inhabitants Progress Price has proven improvement and it decreased from 1.95 % in 2014 to
1.92 % in 2015.
- Complete Fertility Price (TFR) is three.2 youngsters per ladies in 2015.
- Life expectancy for female has improved from 66.9 yr to 67.3 years in 2015 and life expectancy for male has elevated from 64.9 years to 65.2 years in 2015.
- Crude Delivery Fee has improved from 26.four per thousand to 26.1 per thousand and Crude Dying
Price has decreased from 6.90 per thousand to six.80 per thousand in 2015.
- City inhabitants has increased from 72.50 million in 2014 to 75.19 million in 2015 while rural inhabitants has elevated to 116.5 million from 115.5 million in 2015.
- The entire labour pressure has reached at 60.09 million in 2013-14.
- The whole number of individuals employed throughout 2013-14 was 56.52 million,
- Unemployment price has decreased from 6.24 % in 2012-13 to six.zero % in 2013-14.
- The share of employment in agriculture sector has decreased to 43.5 % in 2013-14 as in comparison with 43.7 % in 2012-13.
- The share of employment in transport sector has increased to 5.4 % in 2013-14 as compared to 4.98 % in 2012-13.
- The share of employment in trade sector has elevated to 14.58 % in 2013-14 from 14.39 % in 2012-13.
- The federal government has offered an option to the youth to set up their very own enterprises by way of Prime Minister’s Small Enterprise and Interest Free loan Schemes and disbursed Rs. 4408.094 million and Rs. 729.37 million respectively.
- The federal government has distributed 55,697 laptops as of April 2015 amongst college students learning in public sector universities to reinforce their analysis capabilities.
- 21934 trainees have completed their training beneath the Youth Talent Improvement Scheme.
- The federal government has allotted Rs.70 million for Nationwide Internship Programme and an quantity of
Rs three,146,710 expenditure incurred as of April 2015.
- The variety of emigrant has increased from zero.622 million in 2013 to 0.75 million in 2014 which embrace 0.32 million unskilled, zero.28 million skilled, zero.12 million semi skilled staff.
Transport and Communications
- Pakistan’s complete street community is around 263,942 Kms which carries over 96 % of inland freight and 92 % of passenger visitors.
- Length of NHA street network is around 12,131 kms includes of 39 national highways, motorways, expressway and strategic roads.
- Throughout 2014-15, NHA executed 72 improvement tasks costing Rs. 1,342 billion. Government of Pakistan has allotted Rs. 111.56 billion within the Federal PSDP 2014-15 for NHAs improvement tasks.
- Government of Punjab and the Federal government have collectively accomplished twin cities Rawalpindi-Islamabad Metro-Bus service undertaking with a complete value of Rs. 44.21 billion. Metro bus challenge shall be absolutely practical after Might 30, 2015.
- All the length of 8.6 Km of Metro Bus hall in Rawalpindi area shall be of elevated structure where as 14 Km in Islamabad shall be at-grade.
- The community of Pakistan Railway includes of seven,791 route kilometres, 452 Locomotives, 1,732 passenger coaches and 15,948 freight wagons.
- The federal government is taking new initiatives to improve the efficiency of Pakistan Railways by repairing/purchasing of locomotives, enhanced HSD oil reserves up to 12 days to streamline the practice operation.
- Throughout monetary yr 2014-15, 90 Kms of monitor has been rehabilitated apart from doubling of 57 kms monitor.
- During 2014-15, Pakistan Railways procured and assembled 202 passenger coaches, rehabilitate 27 locomotives and repaired 150 locomotives at the price of Rs.11.289 billion.
- Throughout 2014, PIA management embarked upon a mission of “Revival of PIA” underneath new initiatives/steps to improve the efficiency of PIA by contracts re-negotiation, route rationalization, re-deploying aircrafts on extra profitable domestic and worldwide routes. Resulting from these steps PIA expenditure decreased by 38 % and its operating income elevated from Rs.95.771 billion to Rs. 99.519 billion in 2014.
- Pakistan National Delivery Company (PNSC) supplies transportation providers for crude oil requirements of the country includes of nine vessels of varied varieties/measurement with a total deadweight capability of 681,806 tonnes.
- Throughout July-March, 2014-15, PNSC corporations earned income of Rs.12.20 billion as towards Rs.11.37 billion over the corresponding interval of last yr.
- During July-March 2014-15, Port Qasim Authority dealt with 21.618 million TEUs (Twenty Equal Models) of container visitors which is 14.zero % greater over the corresponding period of final yr.
- At Gwadar Port, 5,315.5 million tons Urea import was dealt with during July-March 2014-15.
- During July-March 2014-15, the entire cargo handled at Gwadar Port stood at 6.279 million tons towards 5.764 million tons over the corresponding interval of final yr displaying a progress of eight.9 %.
- Telecom revenues throughout Jul-Dec 2014-15, amounted to Rs.299.zero billion which made this sector very engaging for further investment.
- Teledensity has been improved and amenities have reached to 75.2 % of inhabitants.
- The introduction of 3G/4G spectrum would assist in expediting socio-economic progress of the country. Auction of 3G /4G spectrum is the most important achievement of the government in Telecom Sector and has introduced an funding of US$ 1790 million.
- Throughout July-Dec, 2014-15, Telecom sector contributed 73.22 billion to the nationwide exchequer when it comes to taxes and so on.
- Cellular Cellular subscribers reached to 134.9 million at the end of March, 2015.
- Through the interval July-March 2014-15, an amount of Rs. 126 billion has been collected by means of
National saving Schemes and Pakistan publish has earned fee amounting to Rs.630 million.
- In the course of the current go to of President of China, Pakistan and China signed 51 Memorandums of Understanding (MoUs) referring to numerous elements of bilateral relations, including the Pakistan China Economic Corridor and collection of power tasks. Thus virtually $15.5 billion value of coal, wind, solar and hydro power tasks will come on-line by 2017 and when mature will add 10,400 megawatts of power to Pakistan’s national grid.
- Asian Improvement Financial institution has accredited assistance packages to help Pakistan to undertake key reforms in the power sector. This included funding to ensure power supply to industrial and personal shoppers. The Jamshoro Energy Era Challenge, which on completion in 2018, will add 1,300 megawatts (MW) to the nation’s electricity grid. Reliability of the facility distribution network can also be being enhanced by means of the funding of $167.2 million to improve 284 grid stations.
- The World Financial institution also accepted a financing package deal from the International Improvement Affiliation (IDA) to help increase hydro-electricity era in Pakistan by means of the event of the Dasu Hydropower Stage-I Challenge (DHP-I). The package deal consists of an IDA Credit score of $588.4 million and an IDA Partial Credit score Guarantee (PCG) of $460 million to help mobilize business financing for the undertaking. DHP-I might have 2,160 megawatt (MW) hydropower plant on the primary Indus River, which might be expanded to 4,320 MW in future with much less further value.
- Throughout July-March FY 2015, main power provided increased to 50.9 million TOE compared to
48.8 million TOE displaying a progress of four.four % while power consumption increased to 25.1 million TOE in comparison with 24.6 million TOE in similar period final yr displaying a progress of two.zero %
Pakistan Power Sources
- Transport and energy sectors remained the very best sector within the usage of oil / petroleum merchandise.
- The long run development means that composition of power consumption, the composition is altering by substituting the fuel as cheaper source compared to oil being expensive. Nevertheless on account of fuel load management, share of oil has again started rising.
- With respect to fuel, Pakistan has probably the most developed fuel transmission and distribution community in the area but on account of its elevated share in power consumption, the gap between its demand and provide is widening.
- The fuel load administration is usually restricted to Punjab Province as its shared in fuel supply is about 5 % while it has a share of just about 46 % of national fuel consumption.
- SNGPL is meeting the requirement of more than four.8 million shoppers of domestic, business, CNG and industrial categories by way of its distribution network. All categories of shoppers are fed via a standard distribution network. There is a continuous extension in SNGPL’s network. On a mean, there was a rise in fuel demand by 40-50 MMCFD (based mostly on average consumption during summer time months) and 80-100 MMCFD (based mostly on common consumption throughout winter months) annually.
- Authorities of Pakistan is taking following steps to beat the shortage of pure fuel within the country:
- Include the pure fuel demand at present degree
- Improve indigenous fuel supplies
- Promotion of LPG air mix
- Import of LNG
- Import of Fuel from Iran
- Import of Fuel from Turkmenistan
- As we speak Pakistan is the world leading CNG consumer country with greater than three million NGVs (Natural Fuel Automobiles) plying on the roads. The selection of conversion is especially on account of the truth that prices of CNG is considerably less than petrol worth. Presently there are more than three,414 CNG stations within the country fulfilling the gasoline need of the NGVs.
- The Government of Pakistan is now profitable to import 500 million cubic ft per day (mmcfd) of LNG from Qatar. As per LNG Policy in 2006/2011 the undertaking buildings could be (i) built-in, by which the terminal developer arranges LNG imports as well as its consumers and (ii) unbundled, by which the terminal developer, LNG importer and LNG consumers are totally different
- The current 400 MMCFD of Regasified LNG (RLNG) might be offered to the facility sector including 9 (9) gas-based Unbiased Power Crops (IPP) – KAPCO, FaujiKabirwala, Rouche, Halmore, Orient, Saif Power, Sapphire, Altern Power, and Davis Energen for alternative of Diesel or LSFO consumption. This RLNG will permit these power crops to generate a further
9 Billion KWh every year, equal to a further 10 % of complete present annual energy era, with out funding in any new era capability.
- The Authorities considers Thar coal improvement as a flagship undertaking. Thar Coal Tasks have been enlisted as early harvest tasks by the CPEC (China-Pakistan Economic Hall), Sindh Engro Coal Mining Company (SECMS) and Sino Sindh Assets (Pvt.) Limited (SSRL) have been prioritized as prime precedence tasks to be financed by Chinese establishments. There’s a complete synergy between the Federal and the Provincial Authorities of Sindh. Complete energy era anticipated from these three tasks is 2400 MW by 2018.
- The installed capacity of PEPCO system was 20,850 MW at the end of June 2013 which has gone up to 22,104 MW by the top of June 2014 with hydro and thermal capacities occupying 7,zero97 MW and 15,007 MW respectively. Out of aforementioned thermal capacity, 5,458 MW is owned by ex-WAPDA GENCOs, 650 by PAEC and relaxation by IPPs/Leases. There’s also 55 MW of isolated era capability at Pasni&Punjgoor areas in Baluchistan. The installed capacity of PEPCO system has gone up to 22,577 MW by the top of March 2015 with hydro and thermal capacities occupying 7,zero97 MW and 15,480 MW respectively.
- Additionally it is mentionable that the village electrification program is an integral part of the whole energy sector improvement program. It will be significant for not only to boost the productivity but in addition to boost socio-economic standards of the inhabitants dwelling in rural areas. The progressive variety of villages electrified has elevated from 1, 89,zero18 on 30th June 2014 to 1, 93,511 at the end of March 2015 whereas As of March 2015, the number of shoppers has risen to 23.258 million.
- To mitigate the impression of rising value of thermal energy and slender down the demand-supply hole, the work on mega tasks like Neelam-Jhelum (969 MW) and DiamirBasha (4500 MW) hydropower tasks is beneath approach.:
Various Power Sources
- There are virtually thirty one (31) wind power IPPs (1810 MW) holding LOIs issued by AEDB are at numerous levels of challenge improvement whereas following tasks are beneath development:
- 50 MW Three Gorges First Wind Farm Pakistan (Pvt.) Ltd., Jhampir Sindh
- 50 MW Foundation Wind Energy-I Ltd. Khuttikun, Gharo, Sindh
- 50 MW Foundation Wind Energy-II (Pvt.) Ltd., Khuttikun, Gharo, Sindh
- On Might 5, 2015, the Prime Minister inaugurated 100MW solar power venture which can generate 100 MW electrical energy. In Photo voltaic Power, 33 LOIs for cumulative capacity of roughly 888.1 MW On-Grid Photo voltaic PV power crops have been issued.
Biomass / Waste-to-energy
- Following Biomass/ Waste-to-Power tasks are in numerous levels of implementation beneath IPP mode:
- M/s SSJD (12 MW) Sindh
- M/s Lumen Energia (12 MW Shahkot) Punjab
- M/s Biomass Power Era Restricted (12 MW), Faisalabad
- M/s Green Positive Environmental Options (12 MW), Mardan, KPK
Social Safety Nets
- The federal government is absolutely dedicated to comply with a sustained poverty reduction strategy and allocate a minimum of 4.5 % of GDP to social and poverty related expenditures. The federal government prioritized 17 pro-poor sectors by means of the Medium Term Expenditure Framework (MTEF) within the PRSP-II.
- Expenditure on pro-poor sectors in 2010-11 stood at 13.24 % of GDP. In 2011-12, these have been 11.55 % of GDP and in 2012-13, 13.10 % of GDP. During 2013-14, complete expenditures for these sectors have been barely elevated and amounted to Rs 1,934.zero95 billion, which was 14.16 % of GDP.
- Throughout July-December 2014-15, Rs. 667.47 billion expenditures have been made in these sectors.
- BISP is constant to eradicate excessive poverty via provision of cash transfers. The present government increased the cash benefit for the poorest of the poor as much as 25 % from Rs 1200/- to Rs 1500/- per 30 days.
- The present government increased BISP budgetary allocation to Rs. 97 billion in 2014-15 from Rs.75 billion in 2013-14. Complete expenditure of BISP through the current fiscal yr is projected to cross Rs. 90 billion.
- The number of BISP beneficiaries is predicted to extend from four.6 million in 2013-14 to five.zero million by the top of this financial yr.
- BISP is predicted to enroll 500,000 youngsters in class in the course of the current monetary yr beneath its Waseela-e-Taleem initiative. The federal government has elevated the monthly stipend underneath the Waseela-e-Taleem initiative to Rs. 250 per 30 days per youngster from Rs. 200.
- Pakistan Poverty Alleviation Fund (PPAF) also supplies assistance in microcredit, water and infrastructure, drought mitigation, schooling, health and emergency response interventions. In the course of the period of July 2014 to March 2015, Pakistan Poverty Alleviation Fund has managed to disburse an quantity of Rs 9.eight billion to its numerous on-going tasks.
- Beneath the 18th Constitutional Modification, the subject of Zakat has been devolved to the Provinces/Federal Areas. A complete amount of Rs. 4778.18 million is distributed in bulk amongst the provinces and different administrative areas for the yr 2014-15.
- Pakistan Bait-ul-Mal (PBM) can also be making efforts for eradication of poverty by offering help to destitute, widows, orphans, invalid, infirm and other needy individuals via totally different initiatives. Throughout July 2014 to March 2015, Pakistan Bait-ul-Mal (PBM) has managed to disburse an quantity of Rs. 2.28 billion to its core tasks.
- An action plan for implementation of National Local weather Change Coverage has been finalized and requires enough sharing of obligations at all levels for its implementation.
- National Influence Evaluation Program (NIAP) carried out by Pakistan Setting Safety Agency is aimed to contribute to sustainable improvement in Pakistan via strengthening the environmental influence assessment course of introducing Strategic Environmental Evaluation (SEA) in national improvement planning.
- Access to an enough supply of water for all (agriculture, business and home customers) is among the absolute priorities of Imaginative and prescient 2025. Prime 5 objectives for water security are:-
- Improve water storage capability, relevant to the requirements of every province in keeping with outlined strategic wants and worldwide benchmarks: from presently 30 days to 45 days by
2018 and 90 days by 2025.
- Spend money on confirmed methods and technologies to attenuate wastage (e.g. in the agriculture sector), promote conversation and achieve efficiencies by means of rationalization of pricing.
- Enable simpler allocation with direct reference to national & provincial priorities and associated social and economic issues.
- Establish institutional mechanisms e.g. a National Water Commission to effectively handle all assets of water (surface, subsurface ,rain) and their sectoral and regional allocations
- Provision of entry to a minimal baseline of appropriate water to every individual in Pakistan.
- Improve water storage capability, relevant to the requirements of every province in keeping with outlined strategic wants and worldwide benchmarks: from presently 30 days to 45 days by
- The recommendations that may be thought-about for the development of strong waste management in Pakistan embrace:-
- Raising awareness about penalties brought on by strong waste pollution.
- Collective position of government sector, NGO’s, Personal sector for strong waste management.
- Legislation must be completed which would be efficient and find ways to implement its successfully software of 3 R’s (Scale back, Recycle and Reuse) idea in strong waste management system.
- House to deal with assortment of strong waste must be organized.
- Littering of strong waste must be prohibited in cities, cities and city areas. Proper segregation can be very important for scientific disposal of waste.
- Creating legal framework and nationwide tips for strong waste management that features waste management and primary recycling rules.
- So as to build the momentum and speed up the progress on sanitation and hygiene within the nation, Pakistan Conference on Sanitation (PACOSAN) was held in February, 2015 in collaboration with the key improvement companions working in the country. Pakistan government is dedicated to save lots of its youngsters from demise, dwelling with disabilities or not attaining their potential bodily and mental progress to compete with different nations on the earth.
Courtesy of Accountancy