Pakistan’s trade deficit surged by 44% in July 2025 as imports grew faster than exports, signaling early stress on the country’s external finances.
According to data from the Pakistan Bureau of Statistics (PBS), the trade gap widened at the start of the new fiscal year. Exports stood at $2.7 billion in July, marking a 16.9% year-on-year rise and an 8.9% increase from June 2025. However, imports jumped to $5.4 billion — up 29.3% from July 2024 and 12.4% higher than the previous month.
This led to a monthly trade deficit of $2.75 billion, compared to $1.91 billion in July last year and $2.37 billion in June 2025.
For FY2024–25, the total trade deficit reached $26.35 billion, reflecting a 9.3% increase from the previous year. Annual exports rose 4.5% to $32 billion, while imports climbed 6.6% to $58.4 billion.
Meanwhile, the services trade deficit narrowed by 15.84%, dropping to $2.62 billion in FY25 from $3.1 billion in FY24. Pakistan spent $11 billion on imported services and earned $8.4 billion from service exports — a 9.23% increase in earnings and a 2.01% rise in spending.
Despite improvements in the services sector, the widening goods trade deficit remains a major concern for the country’s current account, especially due to growing import costs
As there has been many challenges that Pakistan has faced with it’s Economy, in past, Pakistan’s trade deficit increased by 143% in May.
