PAKISTAN ECONOMY 2010

Page last on January 26, 2010
Economy - overview:Pakistan, an impoverished and underdeveloped country, has suffered from decades of internal political disputes and low levels of foreign investment. Between 2001-07, however, poverty levels decreased by 10%, as Islamabad steadily raised development spending. Between 2004-07, GDP growth in the 5-8% range was spurred by gains in the industrial and service sectors - despite severe electricity shortfalls - but growth slowed in 2008-09 and unemployment rose. Inflation remains the top concern among the public, jumping from 7.7% in 2007 to 20.8% in 2008, and 14.2% in 2009.

The government agreed to an International Monetary Fund Standby Arrangement in November 2008 in response to a balance of payments crisis, but during 2009 its current account strengthened and foreign exchange reserves stabilized largely because of lower oil prices and record remittances from workers abroad. Textiles account for most of Pakistan's export earnings, but Pakistan's failure to expand a viable export base for other manufactures have left the country vulnerable to shifts in world demand. Other long term challenges include expanding investment in education, healthcare, and electricity production, and reducing dependence on foreign donors.
GDP (purchasing power parity):$448.1 billion (2009 est.)
$436.4 billion (2008 est.)
$422 billion (2007 est.) note: data are in 2009 US dollars
GDP (official exchange rate):$166.5 billion (2009 est.)
GDP - real growth rate:2.7% (2009 est.)
3.4% (2008 est.)

GDP - per capita:$2,600 (2009 est.)
$2,500 (2008 est.)
GDP - composition by sector:agriculture: 20.8% industry: 24.3% services: 54.9% (2009 est.)
Labor force:55.88 million note: extensive export of labor, mostly to the Middle East, and use of child labor (2009 est.)
Labor force - by occupation:agriculture: 43% industry: 20.3% services: 36.6% (2005 est.)
Unemployment rate:15.2% (2009 est.)
Population below poverty line:24% (FY05/06 est.)
Investment (gross fixed):18.1% of GDP (2009 est.)
Budget:revenues: $23.21 billion expenditures: $30.05 billion (2009 est.)
Public debt:45.3% of GDP (2009 est.)
Inflation rate (consumer prices):14.2% (2009 est.)
20.3% (2008 est.)
Central bank discount rate:15% (31 December 2008)
10% (31 December 2007)
Current account balance:$-2.42 billion (2009 est.)
$-15.68 billion (2008 est.)
Exports:$17.87 billion (2009 est.)
$21.09 billion (2008 est.)
Exports - partners:US 16%, UAE 11.7%, Afghanistan 8.6%, UK 4.5%, China 4.2% (2008)
Imports:$28.31 billion (2009 est.)
Imports - commodities:petroleum, petroleum products, machinery, plastics, transportation equipment, edible oils, paper and paperboard, iron and steel, tea