The country's current account balance became positive, registering a surplus of $142 million in March 2012 mainly due to rise in foreign inflows. However, the cumulative current account deficit still stands at $3.089 billion during first nine months of current fiscal year.
For the second time during the current fiscal year, CA deficit has become surplus as before this, the account was surplus by $160 million in December 2011. The CA balance has been posting deficit since July 2011, largely contributed by high goods imports followed by commodity prices on international front and slow foreign inflows.
Economists said surplus current account is a positive sign for the country's economy, which is already facing many challenges on domestic and external fronts. They said that high home remittance inflows sent by overseas Pakistanis and some rise in foreign inflows largely contributed to a surplus current account.
In November 2009, Pakistan was compelled to join the IMF programme to avoid default because of depleting forex reserves due to high current account deficit. According to the State Bank of Pakistan, the country's CA balance posted a surplus of $142 million in March 2012 as compared to $184 million in March 2011.
However, year on year basis, the country's current account balance posted a deficit of over $3 billion during the period under review. The account posted a deficit of $3.089 billion during July-March of fiscal year 2011-12 compared to $10 million in the corresponding period of last fiscal year, depicting an increase of $3.079 billion.
Combined deficit of trade, services and income stood at $16.020 billion against current account transfers of $13.023 billion. The country's overall goods imports stood at $29.94 billion and exports at $18.32 billion with a trade deficit of $11.61 billion during first nine months of fiscal year 2012.
Previously, it stood at $8.15 billion along with $26.04 billion imports and $17.89 billion exports during the same period of fiscal year 2011.
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