Pakistan’s Current Account Deficit Shrinks by 70%

Pakistan's current account deficit shrank by around 70 percent year-on-year (YoY) to $98 million in August 2026, down from $324 million in the same month last year.

Key points

• The latest data from the State Bank of Pakistan (SBP) indicated that the deficit stood at $445 million in July 2026.
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• While exports were recorded at around $2.5 billion, during the month, imports stood at approximately $5.5 billion.
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• According to Topline Securities, the narrower monthly deficit in August was mainly backed by an improvement in the goods trade balance.

For context, the latest data from the State Bank of Pakistan (SBP) indicated that the deficit stood at $445 million in July 2026. It was revised upward from the previously noted $328 million. Pakistan's REER Keeps Rising With Exports Under Pressure.

For the first two months of Fiscal Year 2026-27 (2MFY27), the current account deficit reached $543 million, down 36 percent YoY from $853 million recorded during the same period of the previous fiscal year.

According to Topline Securities, the narrower monthly deficit in August was mainly backed by an improvement in the goods trade balance. The goods trade deficit narrowed by $127 million month-on-month to around $3 billion.

While exports were recorded at around $2.5 billion, during the month, imports stood at approximately $5.5 billion. Stay Connected with ProPakistani.

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Taken together, the developments around pakistan's Current Account Deficit Shrinks by 70% point to a situation that is still moving, and the coming days should bring more clarity.