KARACHI: Pakistan’s Current Account Deficit (CAD) has reduced by 78 percent owing to lower imports and better inflows.
The CAD fell to $2.966 billion during fiscal year 2019/2020 as against the deficit of $13.434 billion in the preceding fiscal year.
The import bill of the country fell by 19 percent to $44.57 billion during fiscal year 2019/2020 as compared with $54.76 billion, according to Pakistan Bureau of Statistics (PBS).
However, the exports also fell by 7 percent to $21.39 billion in fiscal year 2019/2020 as against $22.958 billion in the preceding fiscal year.
Therefore, the trade deficit fell by 27.12 percent to $23.18 billion in fiscal year 2019/2020 as against deficit of $31.8 billion in the preceding fiscal year.
The inflows of workers’ remittances grew by 6.4 percent to $23.12 billion during fiscal year 2019/2020 as compared with $21.739 billion in preceding fiscal year.
The current account deficit was came at 1.1 percent of the GDP during fiscal year 2019/2020 as compared with 4.8 percent of the GDP during preceding fiscal year.