Pakistan’s trade deficit increases by 23% as exports decline

According to the most recent data released by the Pakistan Bureau of Statistics (PBS), Pakistan’s trade deficit for the month of November 2022 came in at $2.88 billion, up from $2.33 billion in October.

This represents a 23.59 per cent increase month over month, while the deficit decreased 42.46 per cent year over year from $4.99 billion during the same period in 2017.

The decrease in the trade imbalance is the result of a decrease in imports, as the import bill for the month of November was $5.25 billion, up 11.34 per cent month over month and down 33.60 per cent year over year.

In the meantime, exports saw a minor dip of 0.63 per cent MoM to $2.37 billion from $2.38 billion in October 2022. In contrast, on an annual basis, exports decreased by 18.34 per cent from $2.9 billion in November 2021.

Exports from Pakistan in terms of Rupees totaled Rs528 billion in November 2022 as opposed to Rs525.83 billion in October 2022 and Rs502 billion in November 2021, representing an increase of 0.41 per cent MoM and 5.18 per cent over the same period in the previous year.

Similarly, imports in November 2022 rose by 12.47 per cent MoM to Rs1.17 trillion from Rs1.04 trillion in October 2022, while on an annual basis, imports fell by 14.49 per cent from Rs1.37 trillion in November 2021.

The overall trade deficit for 5MFY23 was $14.41 billion, which was a reduction of 30.14 per cent YoY from the deficit experienced during the same time period in 2012.