Pakistan imports have plunged by 25 percent during the nine months (July – March) 2022-2023, the 24NewsHD TV channel reported on Monday. 

Pakistan Bureau of Statistics (PBS) showed that the country’s imports have been reduced by 25 percent to $43.94 billion during the period under review compared with $58.86 billion in the corresponding period of the last fiscal year.

The trade deficit has been reduced by 60 percent to $1.46 billion in March 2023 when compared with $3.63 billion in the same month of the last year.

Therefore, the trade deficit of the country contracted by 35.51 percent to $22.9 billion during July – March 2022-2023 as compared with the deficit of $35.51 billion in the same period of the last fiscal year.

The contraction in trade deficit may be attributed to restrictions imposed by the government in May 2022 on the import of luxury and non-essential items. Although the ban was lifted in August 2022 after pressure from the International Monetary Fund (IMF).

Though the government lifted the import ban, the State Bank of Pakistan (SBP) put restrictions on issuing letters of credit (LC) for import payments.

Meanwhile, the import bill for the month of March 2023 plunged by 40 percent to $3.83 billion as compared with $6.41 billion in the same month last year.

Moreover, exports of Pakistan plummeted by 10 percent during nine months (July – March) 2022-2023. 

According to the official data, exports slipped to $21.05 billion during the first nine months of the current fiscal year as compared with $23.35 billion in the same period of the last fiscal year.

Exports of the country during the month under review recorded a 15 percent decline to $2.37 billion as compared with $2.78 billion in the same month of the last year.