Pakistan’s exports to nine regional countries rose by 5.10% in the first month of the current fiscal year compared to the same period last year, driven by increased shipments to China, Sri Lanka, and Bangladesh, according to data from the State Bank of Pakistan.
Exports to Afghanistan, China, Bangladesh, Sri Lanka, India, Iran, Nepal, Bhutan, and the Maldives totaled $357.01 million in July, up from $339.68 million in the corresponding period of the previous year. Exports to regional countries saw a slight increase of 1.49% in FY25, reaching $4.401 billion, compared to $4.336 billion in FY24.
China continues to be Pakistan’s largest regional trading partner, accounting for 60% of total regional exports. Shipments to China grew by 24.7% in July, reaching $199.65 million, compared to $160.10 million last year. However, exports to China declined by 8.6% in FY25, falling to $2.476 billion from $2.709 billion in FY24.
Imports from China also increased by 14.68% to $1.695 billion in July, compared to $1.478 billion last year. For FY25, imports from China rose by 20.79%, reaching $16.312 billion, up from $13.504 billion.
Exports to Afghanistan, once one of Pakistan’s major trading partners, dropped sharply by 38.23% to $54.39 million in July FY26, compared to $88.06 million in July FY25. This decline is attributed to changing trade dynamics and a lack of official data on trade through land routes.
Exports to Iran were absent through official channels in July, as most trade occurs informally via border areas, primarily through barter systems. Similarly, exports to India remained low, at just $1.15 million, with trade being routed through third-party markets like Dubai and Singapore, increasing costs.
