Services exports remain sluggish, rise by 3% YoY

December 20, 2019 (MLN): Export of services during Jul-Nov 2019 increased by a small amount of $459 million i.e. 3% YoY, according to the latest data published by State Bank of Pakistan (SBP).

The services sector considered as a major driver of economic growth but the exports of this sector remained lethargic from the past few months.

According to the data, Pakistan earned the highest foreign exchange of $554 million by exporting business services, disappointingly, the amount increased marginally when it compared to the same period last year.

Telecommunication and Information services appeared as the second-highest source of foreign exchange earnings as its exports during the period jumped by 19% YoY to $518 million from $437 million in Jul-Nov 2018.

Next in line is Government goods and services and i.e. of which logistic support whose exports during the period recorded at $480 million, marking a decline of 11% YoY from $541 million.

Exports of Transport and Travel services also emerged as a significant source of foreign earnings as Pakistan earned $322 million and $206 million from exporting these services.

On the other hand, Pakistan’s overall imports of services during the period under review declined marginally from $3.83 billion to $3.78 billion.

During Jul-Nov 2019, Pakistan imported $1.4 billion worth of Transport services and $1.12 billion worth of other business services. Imports bill of transport services deteriorated by 6% YoY, while that of Business services increased by 24% YoY.

Further, imports of Insurance services recorded at $118 million, while Transport services at  $148 million, showing a decline of 18% YoY.

Copyright Mettis Link News