Pakistan’s trade deficit narrows by 41% on YoY basis

The trade deficit has significantly reduced due to government measures registering a 41% dip on YoY basis, reported 24NewsHD TV Channel on Wednesday.

As per the data released by the Pakistan Bureau of Statistics, the trade deficit in December 2022 stood at $2.85 billion when compared to the trade deficit of $2.79bn in the preceding month. So on Month-on-Month basis, the deficit increased by 2.3%. However, on Year-on-Year basis, the deficit plunged by 41% as it stood at $4.8 billion in Dec 2021. 

The deficit nosedived due to 17pc decrease in export and 32pc decline in imports in Dec 2022 when compared to country’s import and export in Dec 2021. 

The exports declined by 4pc in Dec 2022 when compared to its preceding month in the same year. 

In Dec 2022, the export stood at $2.30 billion while in Dec 2021, the country’s export remained $2.76 billion. 

In Nov 2022, the exports stood at $2.39 billion. 

The imports shrank to $5.16bn in Dec 2022 when compared to imports in Dec 2021 which remained $7.58bn. 

In Dec 2002, the trade deficit registered a decline by 41% as the deficit was clocked in $2.85bn and in the previous year Dec 2021, the deficit was $4.81bn.

In the first half of the current year, the exports stood at $14.25bn after registering a decline of 6pc. 

Whereas, during first half of the last year, the exports remained $15.12bn.

On the other hand, in first half of the current year, country’s imports stood at $31.38bn after registering a decline by 23pc.

Cumulatively, within 6MFY23, the trade deficit stood at $17.13bn, narrowed by 32.65% YoY compared to the deficit of $25.43bn recorded in the same period last year.

Reporter Ashraf Khan