Pakistan’s Exports Rise 10% to $19.55 Billion in July–January FY25
ISLAMABAD: Pakistan’s exports grew 10% to $19.55 billion in the first seven months (July–January) of the 2024–25 fiscal year, compared to $17.77 billion in the same period last year. This increase signals a positive trend for the economy and provides some relief in managing external accounts.
Trade Performance Overview
- Exports: Increased 10% to $19.55 billion.
- Imports: Rose 6.95% to $33 billion (up from $30.9 billion last year).
- Trade Deficit: Widened 2.84% to $13.49 billion.
Current Account Surplus Helps Stability
Despite the slight increase in the trade deficit, Pakistan’s Current Account Deficit (CAD) has remained in surplus since August 2024, thanks to higher remittances and an improved trade balance.
- December 2024 CAD Surplus: $582 million (vs. $279 million in December 2023).
January 2025 Trade Snapshot
- Exports: $2.92 billion, up 4.59% YoY.
- Imports: $5.23 billion, up 10% YoY.
- Monthly Trade Deficit: $2.31 billion, up 17.78% from January 2024.
On a month-over-month basis:
- Exports barely changed from $2.91 billion in December 2024.
- Imports declined 2.3% from $5.36 billion in December 2024.
Challenges and Policy Considerations
While the export growth is encouraging, the widening trade deficit remains a concern, putting pressure on foreign exchange reserves and overall economic stability. Experts emphasize the need for strategic reforms to boost exports, such as:
✅ Product diversification to reduce reliance on traditional sectors.
✅ Expanding market access through trade agreements and new partnerships.
✅ Enhancing industrial competitiveness to attract foreign buyers.
With global economic uncertainty and rising import costs, policymakers must balance essential imports while managing the deficit to safeguard Pakistan’s financial position.
