ISLAMABAD: The government is likely to set an economic growth target of 3.5 percent for the next Financial Year, 2023-24, but chances for economic revival and achieving the growth targets hinges on its ability to manage the current account and external debt.
The planning ministry has proposed setting the agriculture sector growth target at 3.5 percent. But it will be based upon ample water availability, expected favourable weather conditions, fertilizers, pesticides, certified seeds, and credit facilities at affordable prices for the revival of crops.
The industrial sector is likely to recover in FY2023-24 and is targeted to grow by 3.4 percent in contrast to a 2.94 percent contraction during the ongoing fiscal year.
LSM sector’s growth target
The large-scale manufacturing sector is targeted to grow by 3.2 percent in contrast to an 8 percent contraction in the current financial year.
However, the sector still faces problems of exchange rate uncertainties and high-interest rates. It is expected that construction in housing projects and infrastructure may be affected by higher rates of construction materials.
The services sector is likely to accelerate its growth to 3.6 percent in contrast to a nominal growth of 0.86 percent in the current financial year.
