In a big economic success, Pakistan current account deficit registers significant decline
Shares
*KARACHI: *The current account deficit (CAD) narrowed down 22.5% to $8.84 billion in the first eight months (July-February) of current fiscal year 2019, reported the State Bank of Pakistan (SBP) on Friday.
The much-needed drop in the deficit became possible mainly due to a notable surge in workers’ remittance inflows and a significant contraction in the outflow on account of services imports during the period under review.
The overseas Pakistani workers’ remittances increased 12% to $14.35 billion in the eight months due to increased efforts to receive the inflows through proper banking channels.
“The growth in remittances inflow is in line with SBP’s projections and the government’s efforts to receive the inflow through proper legal channels,” a senior analyst sais.
Remittances stood at $12.83 billion in the same period last year, the central bank reported.
