KARACHI: Pakistan’s merchandise trade deficit widened to $3.56 billion in September 2026, rising 7.99% month-on-month and 6.15% year-on-year, as imports grew substantially despite a strong rebound in exports.
According to provisional data from the Pakistan Bureau of Statistics (PBS), exports climbed to $2.94 billion in September, up 16.07% from $2.53 billion in August and 17.61% from $2.50 billion a year earlier.
Imports, however, rose to $6.49 billion, increasing 11.5% from August’s $5.82 billion and 11.05% compared with $5.85 billion in September 2025.
In absolute terms, exports increased by around $407 million during the month, while imports jumped by approximately $670 million, leaving the trade gap $263 million wider than in August.
Exports covered around 45% of the import bill in September, compared with roughly 43% in August and September last year.
Pakistan’s merchandise trade deficit reached $10.79 billion in the first quarter of FY2026-27, up 15.13% from $9.37 billion during the same period of FY2025-26.
Imports rose 13.21% to $19.22 billion, adding around $2.24 billion, while exports increased 10.84% to $8.42 billion, gaining approximately $824 million.
As a result, export coverage of imports slipped to about 44%, from nearly 45% a year earlier.
In rupee terms, September exports reached Rs. 815.1 billion, while imports stood at Rs. 1.80 trillion, resulting in a monthly trade deficit of around Rs. 988.4 billion.
For the first quarter, the rupee-denominated trade deficit crossed Rs. 3 trillion, up around 13.22% from Rs. 2.65 trillion a year earlier.
The latest figures highlight a mixed start to FY27: exports are showing strong growth, but imports are rising faster in absolute dollar terms, leaving Pakistan with a substantially wider goods trade gap.
The development will remain important for the country’s external financing position, as the merchandise deficit has to be offset by sources including workers’ remittances, services receipts and financial inflows.
