MACROECONOMICS

ANALYSIS OF PAKISTAN ECONOMY

INDICATORS

MAHNOOR TIWANA | L1F1BBAM7109 | November 16, 2016

SUBMITTED TO PROF. USMAN ELAHI
 PAKISTAN
The economy of Pakistan is the 25th largest in the world in terms of purchasing power parity
(PPP), and 38th largest in terms of nominal gross domestic product. Pakistan has a population
of over 190 million (the world's 6th-largest), giving it a nominal GDP per capita of $1,550, which
ranks 132nd in the world. However, Pakistan's undocumented economy is estimated to be 36%
of its overall economy, which is not taken into consideration when calculating per capita
income. Pakistan is a developing country and is one of the Next Eleven, the eleven countries
that, along with the BRICS, have a potential to become one of the world's large economies in
the 21st century. However, after decades of war and social instability, as of 2013, serious
deficiencies in basic services such as railway transportation and electric power generation had
developed. The economy is semi-industrialized, with centers of growth along the Indus River.
Primary export commodities include textiles, leather goods, sports goods, chemicals and
carpets/rugs.

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 Years Growth Rate
1991 5.062
1992 7.706
GDP Growth of Pakistan 1993 1.758
1994 3.737
Economic growth is the increase in the inflation-adjusted market
1995 4.963
value of the goods and services produced by an economy over time.
1996 4.847
It is conventionally measured as the percent rate of increase in real
1997 1.014
gross domestic product, or real GDP. Of more importance is the
1998 2.550
growth of the ratio of GDP to population (GDP per capita, which is
1999 3.660
also called per capita income). 2000 4.260
2001 1.982
2002 3.224
2003 4.846
2004 7.369
2005 7.667
2006 6.178
2007 4.833
2008 1.701
2009 2.832
2010 1.607
2011 2.748
2012 3.507
2013 4.367
2014 4.738
2015 5.538

The above graph shows the GDP growth of Pakistan from 1991 to
2015. In the given data the year 1992 the growth rate is 7.706 % which is very high

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 Years Rates
1990 19.85
1991 19.37
Expenses (% of GDP) 1992 19.62
1993 21.10
Money spent or cost incurred in an organization's efforts to generate 1994 19.75
revenue, representing the cost of doing business. 1995 19.13
1996 20.74
1997 19.75
1998 19.23
1999 18.99
2000 17.19
2001 16.25
2002 16.93
2003 16.83
2004 14.43
2005 14.62
2006 14.15
2007 15.32
2008 17.94
2009 16.19
2010 17.50
2011 17.61
2012 18.80
2013 17.83

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 Years Rate
1990 20.77
1991 23.48
GDP Deflator 1992 25.85
1993 28.09
The GDP deflator (implicit price deflator) is a measure of the level of 1994 31.71
prices of all new, domestically produced, final goods and services in an 1995 36.11
economy. GDP stands for gross domestic product, the total value of all 1996 39.14
final goods and services produced within that economy during a 1997 44.38
specified period. 1998 47.72
1999 50.51
2000 63.09
2001 68.07
2002 69.74
2003 72.84
2004 78.48
2005 84.00
2006 100.00
2007 107.27
2008 121.44
2009 146.54
2010 162.44
2011 194.35
2012 205.95
2013 220.29
2014 235.59
2015 243.85

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 Years Rate

1990 88.90
1991 82.53
Final consumption expenditure
1992 82.93
Final consumption expenditure (formerly total consumption) is the sum of 1993 85.32
household final consumption expenditure (private consumption) and 1994 83.22
general government final consumption expenditure (general 1995 84.17
1996 85.53
government consumption).
1997 86.77
1998 83.33
1999 86.05
2000 84.02
2001 84.06
2002 83.51
2003 82.65
2004 82.39
2005 84.79
2006 88.08
2007 87.77
2008 91.62
2009 89.73
2010 90.03
2011 90.89
2012 92.94
2013 91.82
2014 91.46
2015 91.04

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 Years Rate
1990 11.10
1991 17.47
Gross domestic savings (% of GDP) 1992 17.07
1993 14.68
Gross Domestic Saving is GDP minus final consumption expenditure. It is 1994 16.78
expressed as a percentage of GDP. Gross Domestic Saving consists of savings 1995 15.83
of household sector, private corporate sector and public sector. Gross 1996 14.47
domestic savings had followed a downward trajectory after 2008. The more 1997 13.23
concerning issue is the perceptible shift of investors' preference towards 1998 16.67
physical assets as compared to financial assets. This can be attributable to a 1999 13.95
rise in inflationary pressures. Gross capital formation is a function gross 2000 15.98
domestic savings. 2001 15.94
2002 16.49
2003 17.35
2004 17.61
2005 15.21
2006 11.92
2007 12.23
2008 8.38
2009 10.27
2010 9.97
2011 9.11
2012 7.06
2013 8.18
2014 8.54
2015 8.96

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 Years Rate

Inflation, GDP deflator (annual %) 1990 6.45

1991 13.06
Inflation is the rate at which the general level of prices for goods and 1992 10.06
services is rising and, consequently, the purchasing power of currency 1993 8.70
is falling. Central banks attempt to limit inflation, and avoid deflation, 1994 12.89
in order to keep the economy running smoothly.
1995 13.87
1996 8.37
1997 13.38
1998 7.53
1999 5.86
2000 24.89
2001 7.89
2002 2.46
2003 4.44
2004 7.75
2005 7.03
2006 19.05
2007 7.27
2008 13.20
2009 20.67
2010 10.85
2011 19.64
2012 5.97
2013 6.96
2014 6.95
2015 3.51

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References
https://en.wikipedia.org/wiki/Economy_of_Pakistan

http://data.worldbank.org/indicator

http://databank.worldbank.org/data/reports.aspx?source=2&series=NE.CON.TETC.KD
.ZG&country=PAK#

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