Pakistan's Trade Deficit Swells to $10.8 Billion as Imports Outpace Exports

Pakistan's trade deficit has widened to $10.8 billion in the first quarter of the current fiscal year, as imports continued to outpace exports.

The government's projections for goods exports at $34 billion for the current fiscal year seem unlikely to materialize, given the latest numbers. Imports rose by $2.2 billion (13.2%) to $19.2 billion, while exports increased by $824 million (10.8%) to $8.4 billion.

The trade deficit widened by 15% compared to the same period last year. Petroleum imports added pressure to the import bill, with crude oil imports rising 40.5% in value and LPG imports increasing 47%. Authorities expect austerity measures to reduce domestic consumption and petroleum import demand in the coming months.