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Exports & Tourism Earnings

During 2003-04 Pakistan's export earnings rose to Rs. 709 billion,
equivalent to US $ 12.31 billion, compared to Rs.625 billion or US $ 10.68
billion in 2002-03, showing a significant increase of 13.4 percent. Foreign
exchange earnings from Tourism during the year 2003-04 were Rs. 9.8
billion equivalent to US $ 0.17 billion, compared to Rs.6.3 billion or US $
0.11 billion in 2002-03. The over-all export receipts during 2003-04 were
almost 3 times higher than their level in 1994-95. The export receipts grew
by an annual rate of 12.2 percent over the last ten years (1994-95 to 2003-
04) while earnings from tourism increased at an annual rate of 10.8 percent
over the same period. The place of tourism in exchange earnings improved
from 10
in 2002-03 to 9
in 2003-04. ( See Table No. 3.2 of Appendix).

International travel receipts as a percentage of earnings from exports
were 1.4 percent in 2003-04, while they were1.0 percent in the previous
year. Their share in the combined receipts of merchandise and service items
was 0.2 percent which was 0.8 percent in the previous year. ( See Table No.
3.6 Appendix).
higher in all months except December 2004,
compared to the same months of 2003 ( See table No. 3.3 of appendix).

Tourism & Balance of Payments

The travel balance during 2003-04 was negative to the extent of
Rs.58.5 billion equivalent to US $ 1.02 billion, which was Rs.21.2 billion or
US $ 0.36 billion a year earlier, according to State Bank of Pakistan figures.
The negative travel balance in 2003-04 was mainly due to maximum amount
of foreign exchange consumed by exchange companies and Pakistani
nationals on religious travel for Umra and Hajj ( See Table No. 3.5 of

Tourism and G.N.P.

During 2003-04, the G.N.P. of the Country was Rs. 4534 billion
equivalent to US $ 78.7 billion. During the same period, foreign exchange
earnings from tourism as reported by State Bank of Pakistan amounted to
Rs. 9.8 billion equivalent to US $ 0.17 billion. Thus, tourism receipts were
0.2 percent of G.N.P in 2003-04 whereas they were 0.1 percent in 2002-03.
(See Table No. 3.7 of Appendix). The share of tourism has decreased due to
change of base year from 1980-81 to 1999-2000, and as a result, total
G.N.P. has increased. Contribution of tourism is much more, if income from
domestic tourism and other tourism activities are accounted for separately,
in national income account.


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