Federal govt sets GDP growth rate target at 2.3pc for next fiscal year   

ISLAMABAD: The federal government has set the gross domestic product (GDP) growth rate target at 2.3 percent for the next fiscal year, ARY NEWS reported quoting figures from a budget document for 2020-21.

According to details, the next year growth target for agriculture sector is being set at 2.9 percent with major crops contributing 2.2 percent of it. “The growth rate for cotton is being set at 1.3 percent,” showed the budget document as it predicted 3.5 percent growth rate for livestock sector in the next fiscal year.

The federal government predicted 1.5 percent growth rate for forest sector, 2.1 percent for fishing, 0.1 percent for industries and 0.5 percent for minerals sector.

The budgetary document for the next fiscal year has forecast a negative 0.7 growth rate for manufacturing sector.

The growth rate predicted for the energy and construction sector stand at 1.4 percent and 3.5 percent respectively as services sector is estimated to grow at the rate of 2.8 percent during the next fiscal year.

It is pertinent to mention here that it emerged that the federal government had decided to unveil the budget for the next financial year 2020-21 on June 12.

Prime Minister Imran Khan had granted approval for presenting the budget in the National Assembly on June 12, said sources.

The sources added officers of the Ministry of Finance engaged in preparing the federal budget have been barred from leaving the federal capital to ensure the budget-related work is completed in time.

Read More: Preparing next budget in light of prevailing situation: Hafeez Shaikh

The government had decided to cut budgetary targets for the next fiscal year in view of the once-in-a-century pandemic’s adverse impact on the country’s fragile economy.

It merits mentioning that the government had decided to hold a marathon session of the National Assembly from June 5 to meet the constitutional requirement of completing a 130-day parliamentary year.

The government is also expected to present the federal budget for the financial year 2020-21 during the forthcoming session.