ISLAMABAD: As a result of an increase in petroleum imports from the Middle East, Pakistan’s trade deficit with the area grew by 35.5% to $1.081 billion in the first month of 2024–25 from $797.78 million in the same month the previous year.
In FY24, the trade deficit dramatically shrunk. Nevertheless, the State Bank of Pakistan’s statistics indicates that policymakers will be concerned about the growing trade deficit with the region.
The gap with the Middle East decreased to $13.014 billion in FY24, down 20.47 percent from $16.365 billion in the year before. The primary cause of this was a decrease in the region’s imports of petroleum.
In July of last year, Pakistan’s exports to the Middle East increased by 49.08 percent to $302.98 million from $203.22 million.
Exports to the region increased to $3.155 billion in FY24, up 35.23 percent from $2.33 billion in the same time the previous year.
In addition, Pakistan’s imports from the Middle East increased by 38.26 percent to $1.384 billion in July 2024 from $1.001 billion in the same month the previous year.
Comparing FY24 to FY19, imports decreased 13.53 percent to $16.16 billion from $18.69 billion in the following year.
