KARACHI: Pakistan’s current account deficit (CAD) clocked in at $567 million during October, which is 56% higher on a month-on-month basis.
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According to a report posted by State Bank of Pakistan (SBP) on Twitter, country’s current account deficit (CAD) shrank by 46.8% during the first four months of this fiscal year (FY23) due to a lower import bill and marginal increase in exports.
1/2 CAD was $ 0.57 billion in Oct 2022 against a deficit of $0.36 billion in Sep 2022. Continuous decline in imports helped improve the Current Account Deficit (CAD) during first four months of FY23. pic.twitter.com/SgkolTu4GV
— SBP (@StateBank_Pak) November 21, 2022
The report says that cumulatively, Pakistan recorded a current account deficit amounting to $2.821 billion in Jul-Oct FY23 compared to $5.305 billion in the same period of the previous fiscal year, a decline of $2.484 billion. It says that the decline in the current account deficit comes as imports reduced by $2.7 billion (or 11.6%) and exports increased by $0.2 billion (or 2.6%) compared to Jul-Oct 2021.
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The SBP said “continuous decline in imports helped improve the CAD during first four months of FY23.” On a month-on-month basis, the deficit increased by 56% or $204 million to $567 million in October 2022 compared to $363 million in September 2022.
