Pakistan posts current account surplus

KARACHI: Pakistan reported a current account surplus during the first 11 months of the current fiscal year due to the government’s strategy of restricting imports.

According to the State Bank of Pakistan, the current account recorded a surplus of $252 million in the month of May, resulting in a current account deficit of $2.94 billion from July to May.

The statement highlighted that the current account deficit for the fiscal year 2023 has decreased to $2.94 billion, compared to $15.16 billion during the same period last year.

This marks a notable shift as the current account deficit has turned into a $78 million surplus.

Data from the State Bank of Pakistan showed that the trade deficit for the first 11 months of the current financial year reached over $23 billion.

In comparison, the trade deficit for the same period last financial year was $40 billion. Pakistan’s total exports from July to May in the current financial year stood at $32 billion.

Furthermore, the statement indicated that the country’s total imports for the fiscal year 2023 reached $56 billion.

In May, Pakistan’s total exports amounted to $3.2 billion, while imports reached $4.6 billion.

Meanwhile, officials from the Ministry of Finance have reported that Pakistan’s current account was in surplus last month. In May, the current account recorded a surplus of $25 million.

Sources said that the government’s efforts to restrict imports have played a significant role in turning the current account deficit into a surplus.

They said that this development reflects a positive trend in Pakistan’s economic indicators and highlights the potential for continued improvement in the country’s trade balance and overall financial stability.