Karachi February 20 2023: Pakistan Current Account Deficit (CAD) recorded USD 0.2 billion in January 2023 against a deficit of USD 2.5 billion in January 2022, according to data released by State Bank of Pakistan.
Cumulatively, Jul-Jan FY23 CAD declined by USD 7.8 billion to USD 3.8 billion compared to the same period last year mainly due to contraction in imports by USD 8.8 billion.
Encouragingly, traded deficit narrowed by 12 percent in January to USD 1,717 million compared with USD 1,930 million in December on the back of 7.3 percent decrease in imports of goods.
Meanwhile, the trade of balance in services, continue to remain in positive. The trade of balance in services stood at USD 18 million in January 2023 compared to USD 86 million in December 2022, the data showed.
Workers’ remittances recorded an inflow of US$1.9 billion during Jan 23, decreased by 9.9 percent on m/m and 13.1 percent on y/y basis. With cumulative inflow of US$ 16 billion during first seven months of FY23, the remittances decreased by 11 percent compared to the same period last year.
Remittances inflows during Jan 23 were mainly sourced from Saudi Arabia ($407.6 million), United Arab Emirates ($269.2 million), United Kingdom ($330.4 million) and United States of America ($213.9 million).