Pakistan’s Eid-ul-Azha economy has reportedly witnessed a significant slowdown this year, with traders and business groups claiming that overall commercial activity declined by as much as 60 percent compared to previous years. According to retailers and market representatives, rising inflation, heavy taxation, and increasing financial pressure on households severely affected consumer spending during what is traditionally considered one of the busiest shopping seasons in the country.
Business owners across major cities, including Karachi, Lahore, and Rawalpindi, said the expected Eid shopping rush failed to materialize, leaving many markets unusually quiet despite the festive period. Traders dealing in clothing, footwear, cosmetics, household items, and sacrificial animals reported weak sales and reduced customer turnout throughout the season.
Livestock sellers also expressed concern over lower demand in cattle markets, stating that many families either reduced their sacrificial budgets or chose not to purchase animals due to soaring prices and economic uncertainty. Retailers said a large amount of inventory remained unsold, causing financial losses for small and medium-sized businesses that rely heavily on Eid sales to recover operational costs and generate profits.
According to market representatives, the decline in purchasing power has forced consumers to prioritize essential expenses over traditional Eid shopping and celebrations. Rising utility bills, expensive food items, fuel prices, and overall inflation have reportedly limited the ability of many households to spend freely during the holiday season.
Traders and business leaders have urged authorities to provide economic relief measures and review taxation policies, arguing that tighter financial conditions and declining consumer confidence are negatively affecting domestic markets. They warned that if inflation and economic pressure continue at the current pace, more businesses could struggle in the coming months due to falling demand and shrinking profit margins.
