Archive · 7 Jan 2026
Pakistan's Exports Decline for Fifth Month
Pakistan is facing a serious economic problem.
For five months in a row, the country's exports have been decreasing.
In December, exports dropped by 20.4%.
This is a big deal because it shows that Pakistan's economy is struggling to sell goods to other countries.
At the same time, imports are increasing.
In December, imports were over $6 billion, which is a lot for Pakistan.
This combination of lower exports and higher imports has made the trade deficit worse.
The trade deficit is the difference between what a country imports and what it exports.
In December, the trade deficit was $3.7 billion, which is 25% higher than the previous month.
Over six months, the trade deficit has increased by 35% compared to last year.
This is worrying because it shows that Pakistan is spending more money on imports than it is earning from exports.
The country is trying to use money sent home by workers abroad to cover this deficit, but this is not a sustainable solution.
The economic situation is making it hard for Pakistan to grow and could lead to more financial problems in the future.
Pakistan's exports fell by 20.4% in December, marking the fifth consecutive month of decline.
The trade deficit widened by 25% to $3.7 billion in December due to rising imports and falling exports.
Imports exceeded $6 billion in December, the highest in the current fiscal year, driven by trade normalisation policies.
The cumulative trade deficit for July–December 2023 is $19.2 billion, 35% higher than the same period last year.
Reliance on remittances to finance the trade gap poses risks due to potential geopolitical shocks and changes in labor markets abroad.
- Who
- Pakistan
- What
- Economic crisis due to declining exports and widening trade deficit
- When
- December 2023 and cumulative data for July–December 2023
- Where
- Pakistan
- Why
- Structural weaknesses in the external sector, rising imports, and reliance on remittances
- Export Decline
- 20.4% in December
- Trade Deficit
- $3.7 billion in December
- Imports
- Crossed $6 billion in December
- Cumulative Trade Deficit
- $19.2 billion (July–December)
- Year-over-Year Increase
- 35% higher than last year