Pakistan’s current account swung back into deficit in fiscal year 2025-26, ending the surplus recorded a year earlier as higher imports outweighed gains in exports, services, and remittances.

According to State Bank of Pakistan (SBP) data released on Friday, the current account posted a $139 million deficit in FY26, compared with a $1.84 billion surplus in FY25.

The deterioration was even more pronounced in June 2026, when the monthly current account recorded a $649 million deficit, reversing a $220 million surplus in June last year and a $500 million surplus in May 2026.

Goods exports fell 5 percent to $30.8 billion from $32.3 billion a year earlier. However, services exports climbed 19 percent to $10 billion.

On the import side, goods imports surged 9 percent to $64 billion, while services imports rose 6 percent to $11.9 billion, widening the external gap.

Workers’ remittances remained a bright spot, increasing 9 percent to a record $41.5 billion during FY26. June inflows stood at $3.48 billion, although they declined 18 percent from $4.25 billion recorded in May.