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Pakistan’s per capita income rises to $1,629 from $1,531, as reported by THE NEWS.
The government has performed well in the outgoing fiscal year and achieved all targets except for the two, investment and saving targets. In the South Asian region, only Pakistan has the lowest saving and investment rates. On the contrary, arch-rival India is doing well in saving and investment sectors. Apart from lower investment and saving rates per capita income is rising, which is good for the country.
The reason why per capita income increased is following.
- Rupee stable against US Dollar
- Increase in Economic growth
- Low population growth rate
Rupee stable against US Dollar
One of the main reason that country’s per capita income is increasing is because Rupee is being exchanged at better rates against the US Dollar.
Increase in Economic Growth
For the past couple of months, the Economic growth of the country is good, which is another reason why our per capita income surged. International forums such as Bloomberg is also giving positive feedback about the country’s economy.
Low population growth rate
The third reason why the per capita income increased is low population growth rate. This fiscal year population growth estimated to 1.9% by Pakistan Bureau of Statistics. Last fiscal year, it was estimated above 2%.
Moreover, Finance Minister of Pakistan, Ishaq Dar in a statement said that the focus of the government in upcoming year fiscal year would be to achieve 6% GDP growth.
In an interview with the Nikkei Asian Review, he said, “the Government is committed to making rapid growth in infrastructure and uplifting lives of poor in the country. For this purpose, we are gaining help from international community.”
But for the government to achieve 6% GDP growth, it needs to resolve its problems in both investment and saving sectors and achieve its desired targets.
