Islamabad (Web Desk): Prime Minister Shehbaz Sharif has called for coordinated and sustained efforts across all sectors to create jobs, strengthen industrial output, expand exports, and generate wider economic activity aimed at speeding up national growth.
PM Shehbaz expressed these views while speaking at a meeting of the National Economic Council (NEC) held in Islamabad on Wednesday.
The prime minister noted that although Pakistan continues to face serious economic pressures, the overall situation has moved towards stability.
He acknowledged the role of provincial governments in managing the recent petroleum crisis and in helping ensure smooth implementation of the International Monetary Fund (IMF) programme.
PM Shehbaz also highlighted that the federal government had already disbursed Rs128 billion from its limited financial resources to support these efforts.
He stressed that the country needs practical policy steps, including new incentives to raise exports, revive industrial production, and support structural reforms in the economy.
The premier said that such initiatives are crucial not only for improving GDP growth but also for delivering real economic relief to citizens.
Reiterating national priorities, he said that defence remains a fundamental pillar of the state’s focus.
He also emphasized that Pakistanis are continuing to make significant sacrifices in the struggle against terrorism.
The prime minister paid special tribute to the people of Khyber Pakhtunkhwa (KP) and Balochistan, as well as law enforcement personnel and security forces, for their key role and sacrifices in combating terrorism.
He expressed confidence that national unity and consensus would ultimately lead to the elimination of terrorism.
The meeting was attended by KP Chief Minister Sohail Khan Afridi, Balochistan Chief Minister Mir Sarfraz Bugti, and Sindh Chief Minister Syed Murad Ali Shah, while Punjab Chief Minister Maryam Nawaz was unable to attend due to illness.
Briefing the meeting regarding the budget proposals and broader economic indicators, Federal Minister for Planning Ahsan Iqbal said that the National Economic Council (NEC) has endorsed a development budget worth Rs3.66 trillion for the next fiscal year, alongside a national economic growth target of 4 percent.
Providing a breakdown of the allocations, he said Rs1 trillion has been earmarked for the federal development programme, while provincial governments will collectively spend Rs2.21 trillion on development initiatives.
An additional Rs451 billion has been allocated for federal public-sector enterprises.
Iqbal also announced that the NEC had approved a proposal from the Planning Ministry to hold its meetings every three months, a move aimed at ensuring more regular monitoring of development priorities and economic performance.
Drawing attention to the decline in development spending, the minister said the Public Sector Development Programme (PSDP) has fallen significantly, dropping from 2.6 percent of GDP in 2018 to only 0.6 percent at present.
He stressed that the country must adopt what he described as a "development emergency" approach to achieve faster economic progress.
The minister noted that debt repayments continue to place a heavy burden on the national exchequer, with nearly 74 percent of government revenues being consumed by debt servicing.
He added that challenges linked to the external sector remain the most critical obstacle facing the economy.
The planning minister emphasized that attracting greater foreign investment and expanding exports would be essential for strengthening economic stability and sustaining growth.
Outlining key sectoral objectives for the coming fiscal year, Iqbal said agriculture is expected to grow by 3.6 percent, industry by 4.5 percent, and the services sector by 4.2 percent. The inflation target for the year has been fixed at 8.2 percent.
He further stated that ensuring water security has emerged as the country's highest national priority.
Referring to the Rs1 trillion federal PSDP, he reiterated that the government will refrain from launching new projects, except those related to education and defence.