Staff Report
ISLAMABAD: The Large Scale Manufacturing (LSM) production grew by 5.46 percent during the period from July to October 2020, data released by the Pakistan Bureau of Statistics (PBS) showed on Tuesday.
“The LSM output increased by 6.66pc for October 2020 compared to October 2019, and 3.95pc if compared to September 2020,” the bureau said.
Sector-wise, the production of minerals, pharmaceuticals, foods, paper and board, chemicals and fertiliser sectors surged by 23pc, 13.53pc, 12pc, 10.46pc, 9.22pc and 6pc during the first four months of the current fiscal year compared to same period last year.
On the other hand, the production of wood, leather, engineering, electronics and steel sectors declined during the four months under review.
Commenting on the development, Minister for Planning and Development Asad Umar said that “industrial growth accelerates as economic recovery gathers pace”.
“Large-scale manufacturing grew by 5.46pc in the July-Oct period. At a time when the global economy is in a deep recession, the industry is driving economic growth and recovery in Pakistan,” said Minister for Industries and Production Hammad Azhar.
Analysts said the notable rise in the numbers for the large-scale manufacturing index is the main reason for the recovering economy, as well as the premier’s decision to rule out lockdowns. This has improved the overall economic and industrial performance during the first four months of the current financial year.
Further, this has been supported by an increase in credit offtake; total offtake surged by 12pc to Rs22.99 trillion in October compared to last year.
The country’s large- scale manufacturing output, despite rising on the back of lower base, is expected to increase in the coming months owing to low Interest rate, value addition, stable exchange rate and cheap energy to various export-oriented sectors.
Days earlier Federal Minister for Information and Broadcasting Senator Shibli Faraz had said that economic indicators of Pakistan were on positive trajectory despite several challenges.
Shibli Faraz, in a tweet on Sunday, said that remittances increased by 27 percent while foreign direct investment (FDI) saw an increase of 150 percent in first half of the financial year.
He further revealed that cement production rose by 17 percent while in November, car sales increased by 68pewrcent and sales of tractors and motorcycles also increased significantly.
Information Minister said that government is working to provide every possible facility to public and reduction in price of sugar by Rs30 shows Prime Minister Imran Khan’s vision of providing relief to masses.
Despite coronavirus pandemic in the country, lives and businesses of the public are safe due to wise decisions of the prime minister, Shibli added.
