Finance sees faster growth, inflation dip coming

ISLAMABAD, (APP - UrduPoint / Pakistan Point News - 15th Jun, 2026) Pakistan’s economy is in recovery mode, with growth seen accelerating and inflation falling, though the middle East conflict remains a wild card that could reverse those gains, Finance Minister Muhammad Aurangzeb said.

The country’s economy is expected to grow 4% next year while inflation is predicted to ease to 8.2% from 11.

7%, Aurangzeb told Bloomberg tv, attributing the improvements to the current fiscal year.

“We are in a good place on fiscal side with the fiscal deficit at an all time low and achieving a Primary surplus,” Aurangzeb said. “On the FX reserves we are on at least 3 months of export cover but ultimately we have to move towards export led growth.”

He said, the government has given a clear route of direction of travel in the budget as to how we are now going to move from stabilization to sustainable and expanding growth.