Pakistan's current account deficit widens to historic high of $2.6b

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2022-02-24T20:39:00+05:00 News Desk

Pakistan’s current account deficit — the gap between the country’s higher foreign expenditure and low income — has widened to a 13-year high of $2.6 billion in January 2022 in the wake of a surge in import payments due to rising commodity prices in the international market, reported 24News.

This was the highest-ever current account deficit for the country. The last time the figure was this high was back in October 2008 when it was $2.03bn.

According to the State Bank of Pakistan, the current account deficit of the country has risen to $2.6 billion in January 2022 from $1.9 billion in December 2021.

Taking to its official Twitter account, the bank account noted that the change has taken place largely due to imports in kind that are fully financed.

“Excluding these, the deficit would have been around $1 billion lower in January 2022,” the SBP wrote.

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