Pakistan’s trade imbalance deepened considerably in the first eight months of the current fiscal year, as falling exports and rising imports widened pressure on the country’s external account.
Official data released on Tuesday showed a marked increase in the trade deficit compared to the same period last year, underscoring persistent challenges on the export front and sustained demand for imported goods.
The deficit surged 25% year-on-year to $25.04 billion, according to the Pakistan Bureau of Statistics.
In the corresponding period of FY25 (July–February), the trade deficit had stood at $20.04 billion. The latest increase reflects a combination of rising import payments and weakening export receipts.
Total exports during 8MFY26 fell 7.3% to $20.46 billion, compared with $22.07 billion a year earlier. Meanwhile, imports grew 8.1% to $45.50 billion, up from $42.11 billion in the same period last year.
For February 2026 alone, exports declined 8.8% to $2.27 billion from $2.49 billion in February 2025. Imports for the month edged down 1.6% to $5.25 billion, compared to $5.34 billion a year earlier.
As a result, the monthly trade deficit in February stood at $2.98 billion, marking a 4.6% increase from $2.85 billion recorded in the same month last year.
