Pakistan recorded a trade deficit of $2.9 billion in August 2025, marking a significant 30.1% increase compared to the same month last year, according to data from the Pakistan Bureau of Statistics (PBS).
Exports in August 2025 fell to $2.4 billion, down 12.5% year-on-year and 10% compared to July 2025. Meanwhile, imports rose to $5.3 billion, reflecting a 6.4% increase from August 2024, although they were 9.3% lower than the previous month, providing slight relief to the overall trade balance.
For the first two months of the current fiscal year (July–August 2025), the trade deficit surged 29% year-on-year to $6.0 billion, driven by falling export revenues and higher import bills. This trend has added pressure on Pakistan’s foreign exchange reserves and overall economic stability.
On a month-on-month basis, the trade deficit actually narrowed by 9%, dropping from $3.14 billion in July 2025 to $2.9 billion in August 2025.
Cumulative exports for the first two months of FY26 showed a slight increase of 0.6%, rising to $5.1 billion from $5.06 billion in the same period last year. Imports, however, rose sharply by 14%, reaching $11.12 billion compared to $9.73 billion during the same period in FY25.
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