Large-scale manufacturing output during the month of October grew by 3.95 per cent compared to September, data released by the Pakistan Bureau of Statistics (PBS) showed on Tuesday.

"The LSM output increased by 6.66pc for October 2020 compared to October 2019, and 3.95pc if compared to September 2020,” the bureau said.

Sector-wise, the production of minerals, pharmaceuticals, foods, paper and board, chemicals and fertiliser sectors surged by 23pc, 13.53pc, 12pc, 10.46pc, 9.22pc and 6pc during the first four months of the current fiscal year compared to same period last year.

On the other hand, the production of wood, leather, engineering, electronics and steel sectors declined during the four months under review.

Commenting on the development, Minister for Planning and Development Asad Umar said that "industrial growth accelerates as economic recovery gathers pace".

“Large-scale manufacturing grew by 5.46pc in the July-Oct period. At a time when the global economy is in a deep recession, the industry is driving economic growth and recovery in Pakistan,” said Minister for Industries and Production Hammad Azhar.

Analysts said the notable rise in the numbers for the large-scale manufacturing index is the main reason for the recovering economy, as well as the premier's decision to rule out lockdowns. This has improved the overall economic and industrial performance during the first four months of the current financial year.

Further, this has been supported by an increase in credit offtake; total offtake surged by 12pc to Rs22.99 trillion in October compared to last year.

The country’s large- scale manufacturing output, despite rising on the back of lower base, is expected to increase in the coming months owing to low Interest rate, value addition, stable exchange rate and cheap energy to various export-oriented sectors.