Karachi Eid Sales Plummet, Economic Challenges Persist

Pakistan's economy is facing a challenging time as Eid sales in Karachi hit a record low this year. Mohammad Rizwan, a clothing vendor, expressed disappointment as sales figures dropped significantly compared to previous years. Atiq Mir, Chairman of All Karachi Tajir Ittehad, confirmed the downward trend, attributing it to the impact of skyrocketing inflation on household purchasing power.

In 2015, Karachi's Eid sales totaled around Rs70 billion, but this year, they are estimated to be only Rs16-17 billion, marking a substantial decline. Mir highlighted that overall sales have decreased by 30%-40% compared to the previous year, with families now opting to buy clothes only for the youngest member.

The economic challenges in Pakistan have been exacerbated by inflation, which has reached around 27% for the first nine months of the fiscal year. Despite efforts to implement structural reforms and secure a bailout from the IMF, the economy has struggled to achieve significant growth, with GDP only increasing by 1% in the last quarter of 2023.

The impact of these economic difficulties is evident in the reduced spending during the festive season, as families prioritize essential needs over discretionary purchases. The situation underscores the urgent need for sustained reforms to stabilize the economy and improve the living standards of the population.