- Trade deficit witnesses 33.4% increase.
- Exports down by 5.57% to $2.44bn.
- Imports surge by 10% to 4.378bn in Feb.
ISLAMABAD: The country’s trade deficit has reached $2.3 billion after witnessing an increase of 33.4% to in February 2025, up from $1.72 billion in the same month last year, The News reported on Tuesday.
The country’s exports, as per the Pakistan Bureau of Statistics, declined by 5.57% to $2.44 billion against $2.58 billion in the same month of the last year. In contrast, imports surged 10% to $4.738 billion from $4.306 billion in February 2024.
On a month-over-month basis, exports were down by 17.35% from $2.95 billion in January 2025. Imports, also declined by 9.9% from $5.26 billion in the previous month. In the first eight months of the outgoing fiscal, total exports climbed 8.17%, reaching $22.02 billion, compared to $20.36 billion in the same period last year.
With four months remaining in the fiscal year, policymakers aim to sustain the upward trend. They expect to easily cross the exports of $33 billion mark by the end of the fiscal in June.
Imports, during July-February 2024-25, rose by 7.4% to $37.8 billion from $35.2 billion. Despite the boost in exports, the trade deficit — meaning the gap between exports and imports — grew by 6.33% to $15.78 billion.
The dip in exports may affect the current account position, which has long been a source of economic vulnerability. Pakistan’s current account balance posted a deficit of $420 million in January 2025, as per the State Bank’s data.
This was the first time in four months that the current account turned red. It posted a surplus in each of the previous three months i.e., October, November and December 2024.
The PBS also reported trade-in services data. During the first seven months of FY2024-25 (July-Jan), services exports increased to $4.75 billion, a 6.16% year-on-year (YoY) growth compared to the $4.47 billion in the same period last year. Imports also increased by 9.15% to $6.678 billion.
The deficit was increased by 17.3% to $1.93 billion against $1.645 billion last year. In January 2025, services exports increased by 1.15% to $691.6 million against $681.3 million in January 2024. Likewise, imports also increased to $1.0 billion from $968.6 million in the same month a year ago, showing a 3.84% increase.
