Karachi, January 20, 2025 – Pakistan mobile phone imports reached a substantial Rs 204 billion during the first half of the fiscal year 2024-25, underscoring the nation’s continued demand for smartphones despite economic pressures.
However, this figure reflects a decline of 10.24% compared to the Rs 237 billion spent on mobile phone imports during the same period of the previous fiscal year, according to data released by the Pakistan Bureau of Statistics (PBS).
The reduction in mobile phone imports is primarily attributed to the appreciation of the Pakistani rupee against the US dollar. In December 2024, the exchange rate stood at 1 USD = Rs 278.12, compared to 1 USD = Rs 283.30 in December 2023. This relative strengthening of the rupee helped ease the cost of imports in local currency terms.
In dollar terms, mobile phone imports also saw a contraction, declining by 7.46% to $733.43 million in the first half of FY25, down from $792.58 million in the corresponding period of the previous fiscal year.
Month-on-Month and Year-on-Year Analysis
On a Month-on-Month (MoM) basis, mobile phone imports showed a significant uptick in December 2024. Imports increased by 9.41% in rupee terms and 9.29% in dollar terms compared to November 2024. This surge can be attributed to higher consumer demand during the year-end shopping season, as well as potential restocking by retailers.
However, on a Year-on-Year (YoY) basis, mobile phone imports in December 2024 registered a decline. The figures fell by 8.97% in rupee terms and 7.27% in dollar terms compared to December 2023, reflecting the impact of tighter economic conditions and reduced consumer purchasing power.
Implications for the Economy
The drop in mobile phone imports aligns with the government’s efforts to manage the trade deficit by curbing non-essential imports. Additionally, the stabilization of the exchange rate has played a role in moderating import costs. Despite this decline, the significant spending on mobile phones highlights the enduring demand for technology and connectivity across Pakistan.
As Pakistan navigates economic challenges, the data underscores a shift in consumer behavior influenced by currency fluctuations and broader market dynamics. This trend also reflects the ongoing evolution of the country’s mobile phone market, where affordability and accessibility remain key factors.