Pakistan’s exports have shown a significant increase of 12.57% during the first five months of the fiscal year 2024-25, reaching $13.691 billion compared to $12.162 billion in the same period of the previous fiscal year. This growth reflects a strong performance in the country’s trade sector, driven by factors including improved market access, increased demand for Pakistani goods, and strategic trade policies.
Key Factors Contributing to the Increase:
Market Access and Trade Agreements: Pakistan has been actively engaging in trade agreements and improving market access for its products. These efforts have opened up new markets and expanded existing ones, contributing to the rise in exports.
Diversification of Export Products: The country has diversified its export portfolio, focusing on high-demand products such as textiles, agricultural goods, and manufactured items. This diversification has helped mitigate risks associated with reliance on a few export commodities.
Government Initiatives: Various government initiatives aimed at supporting exporters, such as subsidies, tax incentives, and export financing, have played a crucial role in boosting export performance.
Global Economic Recovery: The global economic recovery post-pandemic has led to increased demand for goods and services, benefiting Pakistan’s export sector.
Trade Deficit and Imports:
Despite the export increase, Pakistan’s trade deficit narrowed by 7.39% during the same period, standing at $8.651 billion compared to $9.341 billion in the previous fiscal year. which is positive for the country’s economic stability.
Monthly Performance:
In November 2024, Pakistan’s exports grew by 8.98% year-on-year, reaching $2.804 billion.
However, on a month-on-month basis, exports declined by 5.97% compared to October 20241. Imports in November also saw a decline of 2.92% year-on-year.
Overall, the increase in exports is a positive sign for Pakistan’s economy, reflecting the effectiveness of trade policies and the resilience of its export sector.
