Electronics industry of Pakistan continues to grow, say Q1 report for 2018-19
Over the past few years, Pakistan’s electronic industry has continued to grow at a rapid pace. State Bank of Pakistan (SBP) reported an amazing 7.8 percent growth during the first quarter (Q1) of the fiscal year 2018-19.
The Quarterly Report for FY19 states that the consistency in the growth of the electronic market has not only attracted the interest of local investors but also the foreign investors. For example, the third largest television set producer in the world, TCL, has announced its plans to extend its operations in the Pakistani electronic market.
“Improvement in electricity supplies alongside an extended summer season drove the demand for the electronic goods. The consistent growth of the segment has attracted the attention of the foreign investors as well,” stated the report.
The report also highlights the factor that played a substantial role in electronic growth. The report suggests that the production of electronic appliances such as smartphones, different types of cooling equipment, electric motors, TVs, watches, and electronic security systems have found a considerable rise over the past few years.
However, the report presents an overall challenging macroeconomic environment during the first quarter of FY19. The report also shows a 4.0 to 4.5 percent growth in real gross domestic product, which is less than its October forecast of 4.7-5.2 percent growth.
“The primary concern was the steep rise in global crude prices, which not only reinforced the already strong underlying inflationary pressures in the economy but also eclipsed emerging improvements in the external sector,” it stated.