HIGHLIGHTS OF ECONOMIC SURVEY 1995-96

 May 04 - 10, 1996

The government of Pakistan released the Economic Survey 1995-96 on June 11. It is a pre-budget document which provides a comprehensive review of the performance of the economy of the country for the financial year ending June 30, 1996.

According to the details GDP has registered significant progress mainly because of better agricultural output particularly cotton. The growth rate for the year under review was 6.1 per cent compared to 4.4 per cent during the previous year. It is attributed to 6.4 per cent increase in commodity sector and 5.8 per cent increase in the services sector. However, the balance of trade has touched an alarming level of over US$ 3 billion.

The other indicators have shown improvements in the economy. The budget deficit has decreased to around 5 per cent of GDP, monetary expansion has come down and the rate of inflation has registered smaller in crease.

The highlights of the survey are:

The GDP growth rate increased from 4.4 percent in 1994-95 to 6.1 per cent in 1995-96.

There was 6.4 per cent increase in the commodity sector and 5.8 percent increase in the services sector.

The growth in agricultural sector improved from 5.9 percent in 1994-95 to 6.7 percent in 1995-96.

The deficit has been estimated around 5.0 percent of GDP.

The exports between July-April 1995-96 rose by 5.9 percent and aggregated at $ 6738.36 million over the level of $6364.52 million in the comparable period last year.

During the period from July-April 1995-96, imports rose by 16.5 percent and aggregated at $9568.51 minion against $8212.17 minion of comparable period last year.

Tight Monetary policy during the year kept monetary expansion down to 8.4 percent during July-March 1995-96 against 9.8 percent in the corresponding period last year.

All prices indices show smaller increases during 1995-96 compared with last year.

Gross national investment grew by about 21.8 percent and private fixed investment by 29.4 percent.

Direct foreign investment recorded a climb of 94.1 percent during July-March 1995-96 over the corresponding period last year.

The mining and quarrying sector experienced a reversal from the negative growth of 4.3 percent in 1994-95 to a positive growth of 8.3 percent in 1995-96.

Under the Awami Tractor Scheme a large number of tractors were sold at financially attractive prices.

The large scale manufacturing improved by 3.1 percent during 1995-96 as against lower growth of 0.5 percent achieved in 1994-95.

The small scale manufacturing sector maintained last year's growth level of 8.4 percent.

Growth in the construction and electricity and gas sectors was recorded at 4.5 and 13.4 percent respectively.

Growth was also recorded at 4.1 percent in transport, storage and communications, 8.3 percent in wholesale and retail trade.

Growth in finance and insurance was 4.0 percent and 2.9 percent in public administration and defence.

The maximum tariff was brought down from 70 percent to 65 percent in the budget for 1995-96.

The rise in debt servicing witnessed a decline and came to 2.84 percent in 1995-96 against 16.95 percent of 1994-95.

In the field of oil and gas exploration, 3 new gas discoveries were made during the period July-March 1995-96.

Thirty wells were drilled both by the public and private sectors.

As many as 2,974 villages have been supplied with electricity by WAPDA from July 1995 to January, 1996.

The total number of telephones during the period under review increased from 2,126,054 to 2,255,335.

The number of Public call offices (PCOs) during 1995-96 increased from 7,600 to 8,172.

The total population is estimated at 131.63 million as on 1st January, 1996 with an estimated growth rate of 2.82 percent.

The un-employment rate is consequently estimated at 4.48 percent.

A total of 19.0 million ORS packets were administered to children below 5 years of age to protect them against diarrheal diseases.

The per capita food availability reached to 2,570 calories in 1995-96.

Pakistan literacy rate is estimated at 37.9; 50 percent among males and 25.3 percent among females, in 1995-96.

Literacy rate for urban and rural areas is 58.3 and 28.3 percent respectively. During the current year 5,504 new primary schools, 151 middle schools and 60 new high schools were established.

During the year 1995-96, a sum of Rs. 10,006 million were allocated for physical planning and housing under public sector development prograrnme.

A sum of Rs. 51.40 billion was allocated for the Social Action Programme during 1995-96. The SAP (1993-98), a five year programme, involved expenditure of 48 billion.

The Railway carried 51.5 million passengers during July-March 1995-96 while PlA's network covered 49 international and 34 domestic stations.

Based on a labor force participation rate of 27.88 percent, the total labour force had been estimated at 36.70 minion as on 1st January, 1996. 

The estimated employed labour force is 34.92 million with 10.00 million in urban and 24.92 million in rural area.

Highlights of Economic Survey

The Government of Pakistan released the Economic Survey 1995-96 on June 11. It is a pre-budget document which provides a comprehensive review of the performance of the economy of the country for the financial year ending June 30, 1996.

According to the details GDP has registered significant progress mainly because of better agricultural output particularly cotton. The growth rate for the year under review was 6.1 per cent compared to 4.4 per cent during the previous year. It is attributed to 6.4 per cent increase in commodity sector and 5.8 per cent increase in the services sector. However, the balance of trade has touched an alarming level of over US$ 3 billion.

The other indicators have shown improvements in the economy. The budget deficit has decreased to around 5 per cent of GDP, monetary expansion has come down and the rate of inflation has registered smaller increase.

The highlights of the survey are: