Economic report released by Finance Ministry reveals agricultural loss from floods

The Ministry of Finance published its monthly economic report, emphasizing the need for a robust economy to stabilize the currency.

According to the paper, climate-induced flooding in Pakistan has resulted in the destruction of farmland and a decline in the production of important crops. The output of sugarcane, rice, and cotton has been lowered by 8%, 40%, and 24%, respectively, while the production target for wheat has been set at 28.37% million tons.

In addition, the data from the ministry of finance indicates that inflation was 25.1% from July to September, compared to 8.6% during the same months the previous year.

According to the study, the budget deficit from July to September was Rs. 672 billion, an increase of 45.4% compared to the first quarter of the previous fiscal year. During the same period in 2021, however, the budget deficit was Rs462 billion.

According to data, the Federal Board of Revenue’s returns for the first quarter of the fiscal year grew by 17%. From July to September, exports rose 5.5%, imports fell 7.9%, the current account deficit was $2.2 billion, remittances stood at 3.6%, and total investments fell 83.7%.

In addition, the report from the finance ministry revealed that the State Bank had $8.884 billion in reserves as of October 26. In spite of this, the research predicts a general improvement in the economy.