ISLAMABAD: The recently imposed regulatory duties on luxury and non-essential items have brought down imports by 23 percent in December 2018.
A statement on Thursday said that the decline in imports had been visible in December 2018 under RD regime (effective on 1994 tariff lines). After this regime the imports declined from $896 million in December 2017 to $691 million in December 2018, showing decline of 23 percent.
Data indicates that the import compression measures taken in the supplementary Finance Act, 2018 have firmly taken hold. These are now effectively curtailing imports as per policy regime of the government.
The data on import of containerized cargo also has shrunk by 9 percent.
There is a growth in exports of 5.5 percent in December 2018 compared to December 2017.
In the first six months from July-December 2018 exports have shown a growth of over 2 percent compared to the same period last year.
The policy measures taken by the government have resulted in shrinking of trade deficit, decline in imports. This also help in enhancing exports which augurs well for overall balance of payment of the country.
The trade deficit that stood at $17.7 billion in July- December 2017 has shrunk by 5 percent to $16.8 billion in the corresponding period in 2018.
The overall imports from July-December 2018 have shrunk by over 2 percent from $ 28.7 billion in July – December 2017 to $ 28 billion in July – December 2018.