Trade deficit widens to $11.26b as rising imports, slowing exports reverse gains

Pakistan's fragile external position came under renewed pressure in October as the current account deficit ballooned to $733 million in first four months of FY2026, driven by a surge in imports and weakening export growth that erased much of the improvement seen in recent months. The latest balance of payments data shows that the deficit was more than three times the $206 million recorded from July to October 2025 last year, signalling a sharp reversal of the early-year momentum.

The deterioration in October pushed the overall current account into a deeper deficit for the fiscal year to date. Current Account Balance recorded a deficit of $112 million in October 2025 compared to a surplus of $83 million in September

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