Current account deficit widens in November: SBP

The central bank of Pakistan has said the current account deficit widened up to $1.91 billion in November 2021, 24NewsHD TV channel reported on Monday.

The current account balance recorded a surplus of $563 million in the same period of last year, the State Bank of Pakistan reported. In October, the deficit amounted to $1.76 billion. It was 8% lower than the deficit recorded in the month under review.

The data showed during the first five months of the current fiscal year 2021-22, the country’s deficit reached $7.08 billion compared with a surplus of $1.86 billion during the same period last year.

The bank tweeted: “Current account deficit widened slightly to $1.91 billion in November from $1.76 billion in October as imports outstripped strong exports and robust remittances. Imports were mainly lifted by high international commodity prices in addition to strong domestic economic recovery.”

Current account deficit widened slightly to $1.91bn in Nov from $1.76bn in Oct, as imports outstripped strong exports & robust remittances. Imports were mainly lifted by high international commodity prices in addition to strong domestic economic recovery. https://t.co/Od8ikVvpBF pic.twitter.com/QhjegqdcDd

— SBP (@StateBank_Pak) December 20, 2021

During November, the balance of trade in goods recorded a 103% increase in deficit year-on-year, while for the services the deficit surged by 408% on a year-on-year basis.

Pakistan exported goods worth $2.71 billion compared to the imports worth $6.42 billion, while the value of exports of services clocked in at $583 million compared to $832 million in November last. SBP Governor Dr Reza Baqir said last week that the current account deficit is expected to increase for the next two months and will then decrease gradually.