December 21, 2021 (MLN): Pakistan’s trade deficit in services widened by 5x YoY to $249 million during the month of November 2021 from $49mn in the same month of the previous year, the monthly data released by the State Bank of Pakistan showed yesterday.
However, on a sequential basis, the country’s trade deficit in services improved by 21% MoM from $314mn in October’21.
This has brought the trade deficit in services during the first five months of the fiscal year 2022 to $1.32billion, up by 66% YoY from $799mn in the corresponding period last fiscal year.
Details made available by SBP revealed that the exports of services during the month amounted to $583mn, i.e., up by 15% YoY and 6% MoM. Amongst the total exports, Telecommunications, Computer and Information Services made the largest contribution with an amount of $221mn, showing an improvement of 31.6% YoY and 13.33% MoM. This is followed by Other Business Services that brought $125mn into the country. In terms of growth, receipts from the exports of Other Business Services inched up by 1.63% MoM while on yearly basis, the export of the same commodity witnessed no change.
Moreover, the export of Transport and Travel Services contributed an amount of $80mn and $46mn, respectively.
On the other hand, the imports of services during the month amounted to $832mn, showing a jump of 50.2% YoY while on a sequential basis, they fell by 3.5% MoM.
Amongst the total imports, the largest expenditure was incurred on Transport services for an amount of $430mn i.e., up by 91% YoY but down by 3.8% MoM. Next up was Other business services which cost the country around $160mn i.e., higher by 10.3% YoY and 32.23% MoM in November’21.
