ISLAMABAD : June 25, 2024 : Pakistan’s trade imbalance is likely to end up around $ 21 billion for the current fiscal year. The State Bank of Pakistan (SBP) data indicates Pakistan’s exports closed at $ 28, 678 billion in the first 11 months of the current fiscal year, whereas , its imports for the same period remained on the higher side and its total volume was recorded at $ 48.402 billion, showing a gap of $ 19, 734 billion. The pattern of the last 11 months of the current fiscal year indicates that Pakistan’s exports are hovering around 3 billion dollar per month whereas despite some stringent measures taken by SBP its imports are soaring over $ 5 billion on monthly basis. Even a layman can understand the gap of around $ 2 billion in exports and imports is not a good equation and it requires special attention of the economic policy- makers for ensuring a balance in exports and imports of Pakistan.
Pakistan’s trade imbalance in the last fiscal year was $ 24.319 billion. For a fair comparison, Pakistan performed better this fiscal year as its trade imbalance narrowed down to $ 19, 724 billion by May 2024. But even this gap in trade should be worrisome for the economic team of prime minister, Shahbaz Sharif. On closing of the last fiscal year of Imran Khan’s rule (2021-22) , Pakistan’s trade deficit stood at $ 39.050 billion. This unmanageable trade deficit clearly shows how recklessly Imran’s economic team was managing Pakistan’s economy. Interestingly, Imran Khan always claims of unprecedented growth of Pakistan’s economy in his rule. He and his team are tirelessly claiming that in their rule , Pakistan’s exports saw highest growth. They never quoted size of imports which Pakistan financed during PTI rule. SBP’s data indicates that Pakistan’s exports in the last fiscal year of Imran rule (2021-22) stood at $ 32,493 billion and its imports for the same period were $ 71, 543 billion. Shahbaz Sharif and Co never told the facts of PTI ‘s 4-year rule to the public. After Shahbaz’s 16-month rule which made the public lives miserable by adding unbearable taxes and killing utility bills Mr Kakar’s rule never questioned PTI’s economic wizards on their devastating style of economic management.
Even the latest SBP’s report on Pakistan’s trade does not present a rosy picture of Pakistan’s economy.
A trade deficit of $ 21 plus (By end June) is indicative of risk to Pakistan’s economy. Any country which loves its sovereignty will not stay jubilant on such a state of its economy. Pakistan will remain in the woods financially as long as its policy-makers keep loving spending hard-earned US dollar on import of dogs’ food.