Pakistan’s trade deficit widened significantly in the first half of the ongoing fiscal year, as declining exports and rising imports deepened the country’s external imbalance, according to data released by the Pakistan Bureau of Statistics (PBS).
During the first six months of FY26, the trade deficit surged by 34.6% year-on-year to $19.2 billion. Official data shows that exports dropped by 8.7%, while imports rose by 11.28%, reflecting a sharp deterioration in trade performance.
In absolute terms, Pakistan’s total exports were valued at over $15.18 billion during July–December FY26, down from $16.63 billion recorded in the same period last year. Meanwhile, imports climbed to more than $34.38 billion, compared with $30.90 billion during the corresponding months of FY25.
PBS figures further indicate a year-on-year slump in monthly trade activity. In December 2025, exports plunged by 20% compared to the same month a year earlier, while imports increased by 2%.
The widening gap between exports and imports highlights persistent structural challenges in Pakistan’s trade sector, which continues to face pressure from global demand slowdown, rising input costs, and currency depreciation.
