Exports grow 8.5% in four months but the trade deficit widens to $14.6bn
Pakistan's exports rose 8.52% to $11.34bn in July to October but imports grew 12.59%, widening the trade deficit by 15.97% to $14.63bn, the PBS said.
Pakistan economy: 23 The Indus Compass stories. Latest: Exports grow 8.5% in four months but the trade deficit widens to $14.6bn. Key developments…
23 stories on Pakistan economy since 27 September 2026; the latest was published on 7 November 2026.
Pakistan's exports rose 8.52% to $11.34bn in July to October but imports grew 12.59%, widening the trade deficit by 15.97% to $14.63bn, the PBS said.
Pakistan's total foreign exchange reserves hit a record $26.86bn, but the World Bank says external debt rose from $68.7bn in 2015 to $135.1bn in 2025.
Finance Minister Aurangzeb confirmed Saudi Arabia has extended its $3bn financing to Pakistan, as the proposed $10bn US facility looks increasingly unlikely.
The IMF expects output in the Middle East, North Africa and Pakistan region to contract 1.3pc in 2026 because of the Iran war, then rebound 6.6pc in 2027.
IMF director Jihad Azour said Pakistan's fiscal policy must go beyond primary balance targets to fund investment, as Zardari pledged more reforms.
PM Shehbaz Sharif ordered faster FBR reforms and warned against resistance, as the government moves to let it compulsorily retire non-performing tax officers.
Finance Minister Aurangzeb discussed targeted fuel subsidies with IMF deputy chief Nigel Clarke in Bangkok, and US trade, Reko Diq and minerals with a US envoy.
The IMF raised its forecast for Pakistan's inflation this fiscal year to 9.9pc from 8.4pc and kept growth at 3.5pc, below the government's 4pc target.
Finance Minister Aurangzeb said five or six state firms could be sold this fiscal year for over $1bn, and growth should top 4pc despite high oil prices.
The IMF reached a staff-level agreement on Pakistan's fourth EFF review and third RSF review, clearing the way for about $1.2bn once its board approves.
The State Bank of Pakistan will pilot clearing cheques by electronic image instead of paper from October 15, with a nationwide rollout due by April 2027.
The KSE-100 rose 1,610.96 points to 171,211.36 as hopes for Pakistan's IMF review lifted investors, a day after the index slipped below 170,000.
PM Shehbaz Sharif met five global financial firms in London and became the first Pakistani PM to open trading at the London Stock Exchange.