Pakistan Records $324 Million Current Account Deficit

Date:

Karachi, Pakistan – Web Desk: Pakistan’s external account slipped back into deficit in April 2026 as rising imports, slower export growth and a widening trade gap increased pressure on the country’s balance of payments.

According to data released by the State Bank of Pakistan, the current account deficit stood at $324 million in April 2026, compared to a deficit of just $12 million during the same month last year.

The latest figures showed a sharp deterioration after Pakistan recorded a surplus in March 2026. During the first 10 months of fiscal year 2025-26, the cumulative current account deficit reached $252 million, compared with a surplus of $1.66 billion in the corresponding period of the previous fiscal year.

Economists said the surge in imports was driven by improving domestic demand, easing import restrictions and higher global commodity prices.

Data showed total imports climbed to $6.9 billion in April, marking an 11.4% increase year-on-year, while exports rose only 3.4% to $3.47 billion.

Pakistan’s merchandise trade deficit widened to $3.4 billion, increasing 21% on an annual basis and 47% compared to the previous month.

However, exports of IT and telecommunication services recorded a 22% increase, providing partial support to the country’s external accounts.

Workers’ remittances continued to remain a key economic support, with overseas Pakistanis sending $3.5 billion in April. Total remittances during the first 10 months of the fiscal year reached $33.9 billion.

Analysts warned that unless exports increase significantly, rising imports could place further pressure on foreign exchange reserves and the Pakistani rupee.

Meanwhile, the Pakistani rupee showed slight improvement in the interbank market, with the US dollar closing at Rs278.60.

Gold prices also moved higher in Pakistan following gains in the international market. The price of gold per tola rose by Rs900 to Rs477,162, while silver prices increased by Rs26 to Rs8,099 per tola.

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