Pakistan's economy is showing signs of sustained recovery in 2025, a development of growing interest to overseas Pakistanis considering real estate investment back home. After months of stabilisation efforts, the tide is turning, offering renewed confidence and a more attractive investment environment. This economic progress isn’t theoretical — it's now being quantified in hard data, painting a more stable and optimistic picture for the year ahead.
According to Reuters, in May 2025, Pakistan’s National Accounts Committee confirmed that the economy grew by 2.4% in the third quarter of the fiscal year ending June. Based on this trajectory, the committee approved a revised provisional GDP growth forecast of 2.68% for FY 2024/25. The total size of the economy is now $410.96 billion, up from $371.66 billion the previous year.
Recognising this momentum ,the State Bank of Pakistan took a significant step by reducing the key policy rate by 100 basis points, bringing it down to 11%. This follows a previous peak of 22%, reflecting confidence in a strengthening inflation outlook and a shift toward supporting economic activity through monetary easing.
This move marks more than just a policy adjustment, it represents a broader shift in strategy, designed to encourage borrowing, reduce financing costs, and restore confidence across sectors.
But for overseas Pakistanis, these developments have more than macroeconomic relevance. They influence on-the-ground decisions about where and when to invest.
In this context, the property market stands out as a sector with strong upside, especially for those seeking secure, tangible assets in a recovering economy. Consider the ripple effects:
This is particularly encouraging for overseas buyers focused on luxury apartments and hotel residences, where high-spec design, strong rental potential, and long-term capital appreciation are all key factors.
Taken together, the economic indicators and policy shifts signal that the investment environment is aligning with the long-term interests of overseas buyers. As Pakistan’s GDP growth continues and monetary policy turns supportive, the landscape is becoming more predictable, more accessible, and more investor-friendly.
For overseas Pakistanis who have been waiting for the right moment to step back into the market, 2025 may offer that moment, not at the peak, but at the turn.