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The Ministry of Finance has expressed the expectation that economic momentum will remain steady in the coming months, according to its Monthly Economic Update and Outlook report.
The report said a decline in investment, exports and the provision of loans to the private sector. It said inflation may rise to 6.5 per cent during the current month, while inflation in December is likely to remain moderate between 5.5 and 6.5 per cent.
According to the Finance Ministry, inflation stood at 6.1 per cent in November 2025, compared with 4.9 per cent in November 2024. From July to November, investment fell by 25.3 per cent to $930 million. During the first five months of the current fiscal year, exports declined by 3.2 per cent to $12.8 billion.
The report stated that remittances increased by 9.3 per cent to $16.14 billion, while imports rose by 11.1 per cent, with the volume recorded at $25.6 billion. It added that industrial growth presents a positive outlook for Pakistan’s economy, with improvement noted in the textile, automobile, cement and food processing industries.
The Finance Ministry said the current account deficit is likely to remain within the set target for the current year. During the first five months, the current account deficit reduced to $812 million. It added that financial discipline has strengthened economic stability, while improved governance and digital reforms have supported economic growth.
According to the report, overseas Pakistanis’ remittances will continue to support the economy. Government expenditure remains under control, while tax collection has improved. From July to November, tax revenue increased by 10.2 per cent to Rs4.733 trillion.
The policy rate has been reduced from 13 per cent to reach 10.5 per cent. The report also stated that production in large-scale manufacturing increased by more than five per cent over the past four months.
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