Pakistan’s trade deficit went up by 19.5% to $2.39 billion during September2020 as compared to $2 billion in the same period in 2019.
The uptick in the trade deficit was seen due to a 13.2% year on yearincrease in imports to $4.26 billion in September 2020 as compared to $3.76billion in the same period last year. However, exports saw an increase of6.1% to $1.87 billion during September 2020 as compared to $1.76 billion.
A.A.H Soomro, Managing Director at Khadim Ali Shah Bukhari Securities whilecommenting on the trade figures said:
The double-digit growth in imports is expected as economic activity resumesand aggregate demand increases. However, a sustained double-digit would behard to sustain given the paltry growth in exports.
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Dr. Aadil Nakhoda, an economist and Assistant Professor at IBA, Karachi,told ProPakistani:
Volatility seems to be the name of the game during this recovery. Theuncertainty will remain. However, the uptick in import figures shows thatdemand-side effects are also in play. Maybe it is linked with the improvedconfidence levels in recent survey figures.
