ISLAMABAD: Pakistan’s exports surged to $19.55 billion during the first seven months of the current fiscal year 2024-25, marking a 10.52% increase compared to $14.9 billion in the same period last year, according to official data from the Pakistan Bureau of Statistics (PBS).
However, imports rose by 6.95% to $33 billion, leading to a slight widening of the trade deficit by 2.84%, reaching $13.49 billion, according to PBS data.
This trend shows a positive development in the nation’s external financial standing, especially concerning its current account deficit (CAD), which has long been a source of economic vulnerability.
Since August 2024, Pakistan’s CAD has been in surplus, driven by higher remittances and an improved trade balance. In December 2024, the surplus reached $582 million, up from $279 million in December 2023.
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Exports in January 2025 stayed at $2.92 billion, reflecting a year-on-year increase of 4.59%, while imports increased by 10% to $5.233 billion from $4.756 billion in January 2024. As a result, the monthly trade deficit increased to 17.78% to $2.313 billion from $1.96 billion.
On a month-over-month basis, exports surged from $2.91 billion in December 2024, showing little momentum. Imports, however, fell down by 2.3% from $5.36 billion in the previous month.
According to experts, a strategic approach is needed to improve export competitiveness, including product diversification and market expansion.
Amid global economic uncertainty and escalating import costs, policymakers must balance the need to maintain essential imports with efforts to reduce the deficit, thereby safeguarding the country’s financial stability.
