Pakistan’s current account deficit shrank for the third month in a row to $0.3 billion in September as compared to $0.7 billion in August 2022, WealthPK report.

According to the data of the State Bank of Pakistan, the reduction in the current account deficit largely reflects a continued moderation in overall imports.

In September, the current account deficit declined for the third month in a row. It fell to $0.3 billion, less than half the level in August. In the first quarter of the current fiscal, the current account deficit has fallen to $2.2 billion from $3.5 billion in the corresponding period of the previous financial year, reflecting a decline in imports.

In the first two months of the ongoing fiscal, the current account deficit declined to $2.21 billion owing to an increase in exports and a decrease in imports.

According to the data, the exports of goods increased from $7.2 billion in July and September of the year 2021-22 to $7.6 billion in the first quarter of the current fiscal. The imports of goods decreased from $17.4 billion to $16 billion in the period under review. The overall trade deficit also shrank to $9 billion in the first quarter of the ongoing fiscal as compared to the deficit of $11 billion in the same period of the previous financial year.

Similarly, the trade deficit in services also shrank to $361 million in August 2022 as compared to the deficit of $388 million in the same month of the previous year. The deficit of primary income declined to $982 million in July and September of the year 2022-23 as compared to $1.006 billion in the corresponding period of the previous year.

The combined deficit of goods, services and primary income also declined to $3.3 billion in July and September of the year 2022 from $4.016 billion in the corresponding period of the previous year, according to the data available with WealthPK.

Credit : Independent News Pakistan-WealthPk