Pakistan Economy Continues to Heat Up

A spectacular 8.4 per cent growth rate in the fiscal year ending in June has surprised many analysts. Among the most impressive indicators is the booming business in Karachi, the 15-million-population city located on the Arabian Sea. Motorbike sales have surged to half a million a year, with export earnings during 2005-2006 expected to reach the $17 billion mark. The figures are impressive for an economy that long suffered from mismanagement, fiscal and trade deficits. Today, the per capita income has risen to almost $700 per year, compared to $400 in 2001.