Pakistan’s economy grew by 3.99% year-on-year in the third quarter of fiscal year 2025-26, driven largely by strong industrial performance, according to data released by the National Accounts Committee (NAC) on Wednesday.

Figures compiled by the Pakistan Bureau of Statistics showed that GDP growth estimates for the first two quarters were also revised upward. Growth for Q1 was revised to 3.92% from 3.63%, while Q2 growth was adjusted to 4.05% from 3.89% estimated at the 116th NAC meeting.

The committee also finalised GDP growth rates for FY2023-24 and FY2024-25 at 2.62% and 3.18%, respectively.

During Q3 FY26, the agriculture sector grew by 3.01%, industry by 4.65% and services by 4.18%.

All major agriculture components recorded positive growth, including important crops at 1.10%, other crops at 2.27%, livestock at 3.70%, forestry at 1.62% and fishing at 1.37%.

Industrial growth was led by a sharp recovery in large-scale manufacturing, which expanded by 9.53%. However, mining and quarrying contracted by 2.55%, while electricity, gas and water supply declined by 13.53%.

The construction sector posted modest growth of 0.48%, compared with a high base of 14.27% in the same quarter last year.

The overall growth in services is 4.18% during Q3 2025-26 with all the constituents contributing positively i.e. wholesale & retail trade (4.13%), transportation & storage (2.02%), information and communication (9.78%), finance & insurance activities (2.90), public administration and social security (8.88%) education (4.14%), health & social work (4.07%) and other private services (3.35%).

The NAC approved provisional overall GDP growth of 3.70% for the ongoing fiscal year. Sector-wise provisional growth stood at 2.89% in agriculture, 3.51% in industry and 4.09% in services.

Based on the latest national accounts data, the size of Pakistan’s economy increased to Rs126.9 trillion, or $452.1 billion, compared with Rs114 trillion, or $408.2 billion, a year earlier.

According to population projections based on the 2023 census, per capita income rose to Rs533,629, equivalent to $1,901.