Pakistan posted a Current Account Deficit (CAD) of USD 703mn for the month of Aug’22 compared to a deficit of USD 1.5bn during Aug’21, down 54% YoY. On a YoY basis, the primary reason behind the decline in deficit was a 3% YoY decline in total imports.
In addition to this, total exports and remittances increased by 17% YoY and 2% YoY, respectively. On a MoM basis, CAD was significantly down (by 42%) aided by a 4% decline in Balance of Trade (Goods) and a jump of 8% in workers’ remittances. With the out-going month’s numbers, the country’s deficit decreased by 19% YoY to USD 1.9bn during 2MFY23, compared with a deficit of USD 2.4bn during the same period last year.
Courtesy – AHL Research