Pakistan’s trade deficit surged by 35% year-on-year (YoY) in December 2024, reaching $2.444 billion compared to $1.813 billion in the same month last year, according to data released by the Pakistan Bureau of Statistics (PBS). The widening gap was driven by a significant rise in imports, while exports remained largely stagnant.

Exports in December 2024 showed a marginal 1% increase, standing at $2.841 billion compared to $2.882 billion in December 2023. Meanwhile, imports surged by 14%, reaching $5.285 billion compared to $4.635 billion in the same month last year. The import figure for December 2024 marks a 27-month high, reflecting increased demand or higher costs of imported goods.

Month-on-Month Comparison
On a month-on-month (MoM) basis, the trade deficit expanded by 47% in December 2024 compared to $1.667 billion recorded in November 2024. Exports in December 2024 were slightly higher than November’s $2.833 billion, while imports rose sharply by 17%, climbing from $4.500 billion in November 2024 to $5.285 billion in December.

Half-Year Performance (July-December FY25)
Despite the sharp increase in December’s trade deficit, the overall trade deficit for the first six months of the current fiscal year (FY25) remained relatively stable. It stood at $11.172 billion, slightly higher than the $11.152 billion recorded during the same period of FY24.

Exports during the first half of FY25 grew by 11%, reaching $16.561 billion compared to $14.985 billion in the corresponding period of FY24. Imports also increased, rising by 6% to $27.733 billion compared to $26.137 billion during the same period last year.