Pakistan trade deficit narrows as July exports surge 31%

Pakistan’s trade deficit widened to $4 billion in July 2026, the first month of the 2026‑27 fiscal year, as imports reached $6.9 billion, up 18 % year‑on‑year. Exports rose sharply to $2.94 billion, a 31 % month‑on‑month increase and 9.5 % year‑on‑year, marking one of the strongest monthly gains in recent years. Imports were largely unchanged month‑on‑month, falling 0.2 % from June.

The sharp export growth and stable import levels reduced the trade deficit by more than 15 % compared with the previous month. Officials said the figures reflect a resilient export sector and align with the FY27 federal budget’s focus on boosting exports, competitiveness and private‑sector‑led growth.