A leading global financial magazine, Barron’s, has called Pakistan’s recent economic progress a “miracle” in a detailed report. The magazine is part of the Wall Street Journal group and praised Pakistan’s fast recovery from a near-default situation in 2022. It warned global investors that ignoring Pakistan now might be a mistake.
The report noted many positive changes in Pakistan’s economy. The Karachi Stock Exchange index has tripled. Inflation, once near 40%, is now close to zero. Eurobond prices jumped from 40 cents to 80 cents. The financial firm Sandglass Capital believes Pakistan is now less risky for investment than before.
However, the report also highlighted ongoing challenges. It said that Pakistan still has weak economic foundations. Rising tensions with India may not harm the recovery much, but internal reforms are still needed. The country must raise tax revenues and cut electricity subsidies to move forward.
Experts credited Pakistan’s progress to tough decisions by the government and military. The State Bank raised interest rates to 22% to control inflation. That slowed the economy but helped reduce prices. Investment firms, like Walton Capital, praised this move and called Pakistan “a good story” for investors.
Still, long-term success will depend on reforms. Barron’s said economic stability is not enough—growth matters more. Pakistan’s leaders must now make hard but necessary choices. If done right, these steps can build lasting strength for the country’s future economy.