Trade deficit improves by 32.66% YoY in 7MFY24

February 01, 2024 (MLN): Pakistan's trade deficit for the first seven months of fiscal year 2023-24 (7MFY24) improved significantly by 32.66% YoY to $13.167 billion as compared to a deficit of $19.553bn in 7MFY23, according to data released by the Pakistan Bureau of Statistics (PBS).

According to the Federal Minister for Industries and Commerce, Dr Gohar Ejaz, this robust trade performance during Jul-Jan 2024 shows that Pakistan is steadily expanding its international trade footprint.

During 7MFY24, exports rose by 7.89% YoY to Rs17.78bn, while imports fell by 14.11% YoY to stand at Rs30.95bn.

In absolute terms, during Jul-Jan 2024, exports increased by $1.3bn, imports decreased by $5.085bn, and the trade deficit contracted by $6.386bn.

In the month of January alone, the trade deficit stood at $1.947bn compared to a deficit of $1.828bn from the previous month, reflecting a rise in deficit of 6.51% MoM.

The trade deficit compared to January 2023's deficit was reduced by 24.8% as it stood at $2.589bn.

Exports in January edged down by 1.13% MoM to $2.79bn compared to $2.822bn in December 2023.

Conversely, compared to January 2023, exports increased by 24.72% YoY.

The country's expenditure on imports during the review month rose by 1.87% MoM, clocking in at $4.737bn compared to $4.65bn in the previous month.

Meanwhile, imports have reduced by 1.84% YoY compared to the balance of Rs4.826bn reported in January 2023.

The minister further commented that these positive trends reflect the government's unwavering commitment to promoting trade and economic growth.

Moreover, the government would continue to implement policies that support exporters, diversify the export base, and enhance trade facilitation.

"I am confident that Pakistan is on the right track to achieving its trade goals and becoming a leading player in the global economy," he further remarked.

Copyright Mettis Link News