Government targets 6% export-led economic growth

The government is pursuing an export-led growth strategy aimed at achieving sustainable annual economic growth of at least 6% while increasing Pakistan's exports to $100 billion by 2035, Planning Minister Ahsan Iqbal said on Thursday.

 

Speaking at the launch of the Monthly Development Outlook (MDO) for July, Iqbal said expanding Pakistan's export base through new products and markets was essential to avoiding another "boom and bust" cycle and ensuring long-term economic stability.

 

The minister said the government, in collaboration with the State Bank of Pakistan (SBP) and the private sector, is working to develop the country's top 20 export clusters into globally competitive industries while promoting non-traditional sectors such as engineering, light engineering, chemicals, and advanced manufacturing.

 

"We are not aiming only for stabilisation but for sustainable growth of at least 6%, and that growth must be export-led," Iqbal said, adding that Pakistan's current export structure—largely unchanged for decades—must diversify to compete in global markets.

 

The minister also said ministries and divisions recorded Rs916.02 billion in Public Sector Development Programme (PSDP) spending during FY2025-26, about 20% higher than the revised allocation due to additional fuel subsidy-related expenditures following the US-Iran conflict, although overall development spending remained below the previous fiscal year's level.