This document provides an overview of Pakistan's economy. It discusses key sectors like agriculture, industry, and services. It notes that agriculture contributes 18.9% to GDP while industry contributes 24%. Services contribute the largest portion at 54% of GDP. The economy faces challenges like a growing trade deficit, high debt levels, energy shortages, and corruption. Solutions proposed include improving education, technology, taxation, and governance to help resolve Pakistan's current economic crisis.
3. CONTENTS:
Defining Purpose
Introduction
History
Measurement Of Economy
Currency
Sectors Of Economy
Sources Of Economy
Economic Crises
Solution
Conclusion
4. DEFINING
PURPOSE
To know about our economy what are the
things that contributes to economy and what
are it’s problems and possible solutions
5. INTRODUCTION:
The management of the resources of a
community , country etc, especially with a view
to its productivity
The prosperity or earnings of a place.
The Pakistani economy is termed as a
developing economy which is a polite term for
an underdeveloped economy
6. HISTORY:
The only suitable manner in which a country
can be evaluated is to examine its history and
to look at how certain features have evolved
through certain processes
Pakistan has a mixed economy, major decisions
are taken by Government and private
enterprise, and also economy is exercised by
these both sectors.
Pakistan economy also depends on its
industrialized sector like textile etc.
7. MEASUREMENT
OF ECONOMY
The size of a nation's overall economy is
typically measured by its gross domestic
product, or GDP, which is the value of all final
goods and services produced within a country
in a given year.
8. GDPOF
PAKISTAN:
Pakistan’s GDP is expected to be 320.00 Billion
USD by the end of this quarter, according to
Trading Economics and analysts expectations.
GDP of Pakistan was 312 billion USD in 2018
9. CONTINUED
The rate of Pakistan’s GDP decreases as the
day passes which was 5.5% in 2018 and 2019
forecast tells that it’ll go to 3.3% and it’ll
further decrease in coming year
Pakistan’s GDP rate is lower than most of south
Asian countries.
11. CURRENCY:
The Pakistani Rupee (Urdu: ,روپیه abbreviated
as PKR), is the official currency of Pakistan since
1948.
It is important because the exchange rate, the
price of one currency in terms of another, helps
to determine a nation's economic health and
hence the well-being of all the people residing in
it.
12. CONTINUED
Historically, the Pakistan Rupee reached an all
time high of 163.75 in June of 2019.
Pakistani currency is inflating as the day passes
so the government must adopt certain policies
in order to avoid more inflation
14. SECTORSOF
ECONOMY:
Primary sector:
Extraction of raw materials – mining, fishing and
agriculture, e.g. livestock , agriculture etc.
Secondary sector:
Concerned with producing finished goods, e.g.
factories making toys, car , food and clothes
Tertiary sector:
Concerned with offering intangible goods and
services to consumers, e.g. Finance and insurance,
General gov. services,Transport etc.
15. SOURCES:
Pakistan offers huge potential and opportunities
for trade and investment to both foreign
investors and the local economy.
Pakistan’s economy depends upon;
1. Agriculture
2. Industry
3. Services
16. AGRICULTURE:
The performance of the agriculture sector
remained subdued during FY19(Financial year),
growing marginally by 0.8 percent; this was
significantly lower than the 3.9,percent growth
in FY18 and the target of 3.8 percent
The stuff in agriculture includes:
1. Cotton
2. Rice
3. Sugar Cane
4. Wheat
5. Maize
17. CONTINUED:
Pakistan's agriculture sector plays a central role
in the economy as it contributes 18.9 percent
to GDP and absorbs 42.3 percent of labor force.
18. INDUSTRY:
As the impact of macroeconomic stabilization
measures intensified, theperformance of the
industrial sector slowed to 1.4 percent during
FY19
Pakistan’s Industry includes;
1. Mining and quarrying
2. Fuel extraction industry
3. Manufacturing
4. Automotive Industry
5. Construction
19. CONTINUED:
Pakistan's industrial sector accounts for about
24% of GDP.
Cotton textile production and apparel
manufacturing are Pakistan's largest industries,
accounting for about 65% of the merchandise
exports and almost 40% of the employed labor
force.
20. SERVICES:
Don’t make or consume goods ,activities in
the service sector include retail, banks, hotels,
real estate, education, health etc.
The services sector accounts for 60% of global
GDP and 30% of global employment
In case of Pakistan services sector comprises
of 54% of total GDP and one third of
employment
21. RANKING IN
SEVERAL
SECTORS:
Pakistan is 1st in producing surgical instruments
Pakistan is world’s 2nd largest producer of
water, buffalo meat and milk
Pakistan is world’s 3rd largest producer of
cotton
Pakistan is the 4th largest goat meat supplier
Pakistan has 5th largest Coal and Gold reserves
Pakistan is the 7th largest wheat grower
23. ECONOMIC
CRISES
The Pakistan’s economy is currently passing through
the most difficult phase of its economic history.
Once a robust economy, with economic growth over
6% of GDP, now it has been transformed into a fragile
economy, due to serious economic challenges.
The most important being our country’s frontline role
in ‘War onTerror’ and the persistent ‘Power and
Energy Crisis’ which has crippled our industrial sector.
24. CONTINUED
Pakistan is relatively more developed in the
demographic, cultural, and health-nutrition
indices but is less developed in housing,
education, and political areas.
As a whole, on the composite social
scale, Pakistan occupies 84th position in
the 3rd world.
26. PERCAPITA
INCOME:
Per capita income (PCI) or average income
measures the average income earned per
person in a given area (city, region, country,
etc.) in a specified year.
It is calculated by dividing the area's total
income by its total population.
PCI(Per capita income) of Pakistan is 5,830
USD while the normal PCI is 17,300 USD
Pakistan PCI rate is less than several other
south Asian countries
27.
28. LOANS
Pakistan's External Debt reached 106.9 USD
billion in Sep 2019.
Moreover, Pakistan’s government is also in
debt of different private sector industries and
banks
Pakistan has to pay about 37 USD billion to
IMF( International monitory fund)
In 2019, when economic conditions worsened,
the Prime minister of Pakistan went to IMF for
twenty-second time and got a largest loan in
history of 6 USD billion
30. IMBALANCE IN
IMPORTSAND
EXPORTS
Pakistan's exports continue to be dominated by
cotton textiles and apparel.
Imports include petroleum and petroleum
products, chemicals, fertilizer etc.
There is no equality in imports and exports in
Pakistan, imports in Pakistan are dominating over
exports and yet the difference is increasing
31. CONTINUED
Pakistan had a total export of 21.8 billion USD
and total imports of 57.44 billion USD leading
to a negative trade balance of 35.54 billion
USD.
The trade growth is -2.60% compared to a
world growth of 1.50%.
33. CORRUPTION
Corruption is a form of dishonesty or
criminal activity undertaken by a person
or organization entrusted with a position
of authority.
Transparency International (TI) calculated
that Pakistan had lost more than 8.5
trillion PKR (US$ 94 billion) in corruption
34. RECOVERY
NAB chairman Javid Iqbal claims that
“NAB recovered 326 PKR billion
from corrupt so far”
While some resources tells 56 billion PKR
and some claims 225 billion PKR
No one can say that how much money has
been recovered
35. IMF REPORT
IMF team recently visited Pakistan in September
2019 let’s see what the IMF Mission, says in its
Report :
“The Pakistan’s economic situation is
deteriorating and Islamabad urgently needs
to address deep problems in its energy
sector”
36. CONTINUED:
The IMF Mission further goes on to say that:
“The country’s GDP in 2019-20 is likely to
decrease at the annual rate of 3.3% to 2.8%,
not enough to provide jobs to the growing
labor force. Decisive and far-sighted action is
needed to address this challenging outlook”.
The above observations of IMF are no doubt a
‘Reality’.
37. SOLUTION:
Every problem has an solution. Here are a bunch
of solutions which can take Pakistan to a certain
place
Education
Technology
Taxation
Governance
Resolving Energy crisis
Utilization the resources
38. EDUCATION
Education provides the base for both social and
economic development.The poor quality
of educational system may be one of the
most important reasons of downfall.
In Pakistan, the quality of education is on the decline
because the government not uplifting the quality and
quantity of education
So for phenomenal change government must have to
adopt policies to give rise to quality education
39. TECHNOLOGY
Technology plays a strong role not only in increasing
productivity but also provides better living standard,
rapid increase in supply, improved trade etc.
Pakistan in IT is going too behind from the
developed countries so, in order to improve they
must have to invest on various IT sectors and take
Pakistan in race of several developed countries
40. TAXATION
Survey shows that 1% of Pakistani’s are tax payers
The taxation system can be improved if we make it
reliable, if we after collecting the data insert all the
data in the computer then we can improve our
taxation system.
The computerized system will pinpoint the persons
who are not paying tax properly and in this way we
can improve the attitude of other people
41. GOVERNANCE
As the population is swelling, government
cannot govern Pakistan sitting in capital.
Government have to devolve powers, disperse
and delegate specialist, provide resources to
the local/district governments so that they can
take decisions at their own
Sitting in Islamabad one cannot visualize what
is needed in other cities, but the people in
those cities know exactly whether they need
water, fertilizers or fruit indulgence industry.
42. RESOLVING
ENERGYCRISES
To resolve energy crises we must have to adopt
alternate ways to resolve crises
As forThe best determination to this problem
is to find other changes of producing energy
which might comprise solar energy, coal
energy and even current and wind energy
which might lessen the load on these available
resources
43. UTILIZATION
THESOURCES
The challenges that our Country faces today do
not commensurate with the abundant and vast
potential that it possesses.
Pakistan has extensive mineral resources,
including fairly sizable reserves of gypsum,
limestone , iron ore, rock salt, silver, gold,
precious stones, gems, marbles etc.
44. CONCLUSION:
As far as Pakistan is concerned, I think that
there is need to create synergy between
government and business community to help
resolve the present economic crisis and put
the country on path of progress and prosperity
and have to take control over crises.
