Trade deficit widens by $9 billion in first quarter fiscal year 2018

The country''s trade deficit widened by $9.088 billion during the first quarter of the current fiscal year (July-September 2017). The deficit is higher by 29.75 percent over $7.004 billion for the same period of last fiscal year, Pakistan Bureau of Statistics (PBS) reported Wednesday.
According to provisional trade data uploaded by PBS on its website, imports increased to $14.26 billion in July-September 2017, up by 22.19 percent over $11.67 billion for the same period a year ago. An official said the surge in imports is a significant and serious concern.
On the other hand, increase in exports was 10.84 percent during the first quarter of the current fiscal year as compared to the same period of last fiscal year with exports increasing to $5.172 billion in the current fiscal year quarter as opposed to $4.666 billion for the same quarter of last fiscal year. The Prime Minister''s incentive package for exporters was revised with some improvements to boost the country''s exports in the months ahead and avert feared challenges to the balance of payment position.
A trade deficit of $2.798 billion was noted in September 2017, which was 21.97 percent higher over $2.294 billion for the same month a year ago. An increase of 16.73 percent was noted in import in September 2017 over the same month of last fiscal year subsequent to the imports of $4.473 billion in September 2017 compared to $3.832 billion in September 2016.
Increase in exports was 8.91 percent in September 2017 over the same month of last fiscal year after exports increased to $1.675 billion in September current fiscal year as compared to $1.538 billion in September 2016.
A decrease of 10.24 percent was recorded in exports in September 2017 over August 2017 after export contracting to $1.675 billion in September 2017 against $1.866 billion in August 2017. A decline of 9.67 percent was also reported in imports in September 2017 over the previous month following decrease in imports to $4.473 billion in September 2017 as opposed to $4.952 billion in August 2017.
As a result, trade deficit in September 2017 as opposed to August 2017 was also narrowed to $2.798 billion from $3.086 billion.