Hike in imports and exports

The economic outlook report released on Monday by the finance ministry for July 2021 shows a surge in exports and imports.

The reports showed that the exports amounted to a total of US$2.3 billion with a 19.7 per cent increase, along with a 51.7pc escalation of the imports to US$5.4bn.

There was an improvement in the portfolio investment as they reached US$1.02bn. Furthermore, tax collection and production of large-scale manufacturing also increased.

However, according to the data in the report, the remittances from overseas Pakistanis, non-taxable income and foreign investment faced a slump as US$2.7bn remittances were sent from the overseas Pakistanis which was a 2.1pc decline. Foreign Direct Investments (FDI) stood at US$89.9 million with a 30.1pc decline.

The imbalance led to a current account deficit of US$0.8bn which accounts for 2.8pc of the GDP.

The total foreign exchange reserves were highlighted to be US$27.31bn with State Bank Pakistan (SBP) holding US$20.26bn while commercial banks had US$7.04bn. Moreover, the interbank rate of the dollar was Rs165.2.

Tax revenue for the month increased by 42.5pc to Rs414 billion while the non-tax revenues faced a 12.3pc decline to Rs1631bn.

Public sector development programme (PSDP) approved funds equalled Rs133.7bn as the financial deficit saw an increase up to Rs3403bn.

Monitoring Desk
Monitoring Desk
Our monitoring team diligently searches the vast expanse of the web to carefully handpick and distill top-tier business and economic news stories and articles, presenting them to you in a concise and informative manner.

Must Read