In the first month of the current financial year, a report regarding the economic performance of the incumbent government showed a decline in remittances, foreign investments, non-tax receipts.
Tall claims about the economic performance of the government were proved to be a failure, on the other hand, the economic decisions of the government have started negatively impacting the national economy. The remittances of overseas Pakistanis were reduced.
The Ministry of Finance released the economic performance report of the first month of the new financial year.
In July 2021-22, the foreign exchange reserves were over $27.34 billion, which shrank to $13.42 billion last month. According to the report, an increase in exports, Federal Board of Revenue (FBR) revenue and loans to the agricultural sector was recorded in the last month
According to the Monthly Economic Update and Outlook for August 2022 of the Finance Division, a decrease in remittances, foreign investment, non-tax income was recorded during July 2022.
Remittances were $2.5 billion during July, whereas, remittances of $2.7 billion were received during July of the previous financial year. Remittances decreased by 7.8% in July 2022 compared to July last fiscal year.
In one year, the fiscal deficit increased from Rs3,403 billion to Rs5,260 billion, whereas, the current account deficit stood at $1.2 billion in July.
According to the report, there is a possibility of a further increase in prices for local level consumers this month.
In July 2021-22, the foreign exchange reserves were over $27.34 billion, which was decreased to $13.42 billion last month.
Exports, FBR revenue, and loans to the agriculture sector recorded growth last month, and loans to the agriculture sector increased by 2.3% in FY 2021-22 compared to 2020-21. Agricultural loans of Rs1,219 billion were given during the last financial year.
The foreign investment dived by 95.1% and non-tax income by 21.5% in July. From July 2021-22, the dollar rate was increased by Rs53.23.