Total revenue collection recorded a marginal 3.7 per cent growth during the July-October period of FY2025, implying that a whopping 45.1 per cent growth will be required during the remainder of FY2025 if the annual target is to be achieved. The point-to-point general CPI inflation rate was higher in rural areas than in urban areas for 16 months out of 21 between April 2023 and December 2024. Export performance during the first half of FY2025 indicates not only high growth of export earnings but also correspondingly high growth of domestic value retention. This is a positive development; however, export earnings continue to remain volume-driven. Private investment is experiencing major disarray during the tenure of the interim government, which started in the previous regime. Aman production decreased in the first half of FY2025, creating a rice supply shortage. The spiral effect caused by the ever-rising debt has entrapped the power and energy sector into a vicious cycle that will likely not end soon. The size of non-performing loans (NPLs) as of September 2024 was 2.7 times higher than the combined allocation for the education and health budget in FY2024.
Publication Period: January 2025
