Pakistan’s current account posted a surplus of $75 million in August 2024, turning around from a $152 million deficit reported in August 2023, according to the latest data from the State Bank of Pakistan (SBP).
This improvement is primarily attributed to an increase in remittances, which surged by 40% year-on-year to $2.9 billion in August.
This surge helped diminish the current account deficit for the first two months of fiscal year 2025 (2MFY25) to $171 million, an 81% decrease from the $893 million deficit recorded during the same period in the previous year.
The country’s export earnings for August stood at $3.108 billion, up nearly 1% from $3.081 billion reported a year earlier. Despite a global economic slowdown, Pakistan’s export activities have shown resilience, contributing positively to the trade balance.
However, imports also rose by 10% to $5.62 billion in August 2024 compared to the previous year, indicating sustained domestic demand and higher global commodity prices.
Exports reached $6.12 billion over 2MFY25, while imports stood at $11.26 billion in the same period.
Worker remittances increased by 40% YoY to reach $2.943 billion in August. Over the first two months of FY25, remittances rose by 44% to $5.94 billion from the same period last year.
