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Global Energy Price Shock Weighs Heavily on Pakistan’s Economy, Lahore School of Economics Report

Hassan Abbas

Pakistan’s economy is facing mounting pressure from a prolonged global energy price shock that has slowed economic growth, accelerated inflation, widened external imbalances, and increased poverty, according to a new quarterly report released by the Modelling Lab of the Innovation and Technology Centre at the Lahore School of Economics.


The report, covering the fourth quarter of FY2025-26, was prepared by Dr. Moazam Mahmood, Professor of Economics; Dr. Azam Amjad Chaudhry, Dean of the Faculty of Economics; Amna Noor Fatima, Manager and Data Analyst at the Modelling Lab; and data analysts Anodha Liaquat and Syeda Khadeeja Batool.
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posted by S A J Shirazi @ 6/30/2026 09:22:00 AM,

Economy struggling under weight of global energy shock: report

By Hassan Abbas

Pakistan’s economy is struggling under the weight of a global energy shock that has dampened growth, stoked inflation, and strained the country’s external accounts, according to a quarterly report prepared by the Modelling Lab of the Innovation and Technology Centre at the Lahore School of Economics.


The report, covering the fourth quarter of FY 2025-26, was authored by Dr Moazam Mahmood, Professor of Economics; Dr Azam Amjad Chaudhry, Dean of the Faculty of Economics; Amna Noor Fatima, Manager and Data Analyst at the Modelling Lab; and data analysts Anodha Liaquat and Syeda Khadeeja Batool.
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posted by S A J Shirazi @ 6/29/2026 09:25:00 AM,

Growth dips to 3.1% on energy shock

Poverty rises to 21.1% as energy costs fuel inflation, warns Lahore School of Economics report

Shahram Haq

Pakistan's economic growth stands at 3.1% this fiscal year, but a brutal global energy shock is threatening to drag that figure down further, with millions of the country's poorest citizens already paying the price.


That is the central finding of the Lahore School of Economics' latest quarterly assessment for Financial Year 2025-26, released by its Modelling Lab. The report, authored by economists Dr Moazam Mahmood and Dr Azam Amjad Chaudhry, paints a sobering picture of an economy caught between fragile recovery and external pressure it cannot control.Read more »

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posted by S A J Shirazi @ 6/27/2026 01:25:00 PM,

State of the Pakistan Economy, Growth, Inflation and Welfare in Pakistan

Financial Year 2025-2026 (Q4)

Lahore School of Economics

Dr. Moazam Mahmood, Professor, Faculty of Economics

Dr. Azam Amjad Chaudhry, Professor & Dean, Faculty of Economics

Amna Noor Fatima, Manager, Data Analyst, Modeling Lab

Anoosha Liaqat, Data Analyst, Modeling Lab

Syeda Khadijah Batool, Data Analyst, Modeling Lab

Read here

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posted by S A J Shirazi @ 6/25/2026 03:15:00 PM,

Lahore School of Economics projects 2.4pc GDP growth for FY2025-26

Hassan Abbas

The Modeling Lab at the Lahore School of Economics has released its annual GDP growth estimates for Pakistan’s fiscal year 2025-26, projecting a modest growth rate of 2.4 percent based on macroeconomic variables observed during the first quarter from July to September. This figure represents no improvement from the previous fiscal year 2024-25, which also recorded a growth rate of 2.4 percent.


The report, titled State of the Pakistan Economy, Growth, and Inflation in Pakistan Financial Year 2025-2026 (Q1), was written by Dr Moazam Mahmood, Professor at the Faculty of Economics, Dr Azam Amjad Chaudhry, Professor and Dean of the Faculty of Economics, Amna Noor Fatima, Manager and Data Analyst at the Modeling Lab, Seemab Sajid, Data Analyst at the Modeling Lab, Anoosha Liaqat, Data Analyst at the Modeling Lab, and Syeda Khadijah Batool, Data Analyst at the Modeling Lab.

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posted by S A J Shirazi @ 11/24/2025 09:17:00 AM,

State of the Pakistan Economy, Growth, & Inflation in Pakistan

Financial Year 2025-2026 (Q1) 

Lahore School of Economics

Dr. Moazam Mahmood, Professor, Faculty of Economics

Dr. Azam Amjad Chaudhry, Professor & Dean, Faculty of Economics

Amna Noor Fatima, Manager, Data Analyst, Modeling Lab

Seemab Sajid, Data Analyst, Modeling Lab

Anoosha Liaqat, Data Analyst, Modeling Lab

Syeda Khadijah Batool, Data Analyst, Modeling Lab 

Click here to read

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posted by S A J Shirazi @ 11/19/2025 10:15:00 AM,

Pakistan's economy is stuck in a low growth trap!

By Shahram Haq

Pakistan is facing a low growth trap while the new budget essentially increases expenditure through more borrowing and a higher burden of taxes.

Increasing expenses, based on heavy borrowing, just raise the payments on borrowing, which now account for 57% of the total expenditure. This policy is clearly profligate and not sustainable; therefore, this perverse Gordian knot will have to be cut.


This is the crux of a report titled “State of Pakistan’s economy, growth, inflation, welfare and budget 2024-25”, released by the Lahore School of Economics.

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posted by S A J Shirazi @ 8/04/2024 11:33:00 AM,

GDP Growth, Inflation, and Welfare for FY 2023-24, and the Budget for FY 2024-25

Executive Summary

The Lahore School of Economics macro model for the Pakistan economy estimates that GDP growth over the fiscal year FY 2023-2024 (Jul-Jun) has been 1.68%. This low estimate of GDP growth for FY 2023-2024, is based on a sustained weakness in sectoral growth over the first quarter (Q1), especially in large scale manufacturing, which has barely broken even, from the contraction of the previous year FY 2022-2023 of - 2.9%, compounded by a weak, below trend growth, recovery in agriculture. Our model projects that GDP growth accordingly should rise to 3.3% for FY 2024-25.


So, a flatline estimation for the annual growth rate of GDP for FY 2022-2023, has been succeeded, by a very weak GDP growth for FY 2023-2024 of 1.68%. Comparable to GOP’s estimate of GDP growth for FY 2023- 2024 of 2.4%. The IMF has a slightly higher estimate, compared to ours, for FY 2023-2024 of 2.0%. The Asian Development Bank and the World Bank have smidge higher estimates, compared to ours, for FY 2023- 2024 of 1.8% and 1.9%, respectively.

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posted by S A J Shirazi @ 8/03/2024 08:56:00 AM,

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