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ISLAMABAD, Jun 9 (APP):The Current Account posted a surplus of US$ 1.9 billion during July-April FY2025, reversing a deficit of US$ 1.3 billion in the same period last year.
According to the Pakistan Economic Survey 2024-25 launched here on Monday, the trade balance in goods stood at a deficit of US$ 21.3 billion (US$ 18.0 billion last year), driven by an 11.8 percent rise in imports that outpaced export growth of 6.8 percent.
The services account deficit widened to US$ 2.5 billion (US$ 2.4 billion last year), as imports grew by 9.3 percent, outpacing export growth of 7.9 percent.
The survey said, the primary income account deficit rose by US$ 803 million to US$ 7.1 billion (US$ 6.3 billion last year), driven by increased dividend repatriation and interest payments.
Remittances hit a historic monthly high of US$ 4.1 billion in March 2025, further bolstering the external account. During July–April FY2025, remittances grew 31.0 percent to US$ 31.2 billion from US$ 23.9 billion last year, driven by government and SBP-led structural reforms.
The financial account recorded a net outflow of US$ 1.6 billion during July–April FY2025, reversing from a net inflow of US$ 4.2 billion last year. The decline was mainly due to higher government debt repayments and a sharp drop in net liability incurrence, which fell to negative US$ 3.2 million from US$ 2.6 billion last year, indicating a marked slowdown in external borrowing.
According to the survey, the net FDI amounted to US$ 1,785 million during the ten months FY2025, slightly down from US$ 1,835 million last year.
The current account surplus bolstered foreign exchange reserves, which rose to US$ 16.64 billion (US$ 11.50 billion with SBP and US$ 5.14 billion with Commercial Banks) as of May 27, 2025, aiding exchange rate stability (average exchange rate for July– April FY2025: Rs 278.72/US$).