In September 2026 Pakistan recorded a current account deficit of $356 million, according to data released by the State Bank of Pakistan. This figure marks a notable increase from the $73 million deficit logged in August of the same year, showing a rapid short‑term deterioration. The September 2026 shortfall also stands in stark contrast to the $133 million surplus that the country enjoyed exactly one year earlier, in September 2025. The swing from surplus to deficit within twelve months underscores how quickly external balances can change when import and export movements diverge.
The September deficit was driven largely by the trade in goods. Pakistan’s total imports for the month reached $7.38 billion, while total exports amounted to $3.95 billion, leaving a goods trade deficit of $3.2 billion (3,200 million dollars). On a month‑on‑month basis, imports rose 13 percent to $6.2 billion, outpacing a 23 percent increase in exports that brought them to $3 billion. These monthly changes contributed to a widening of the goods trade deficit by $148 million compared with the previous month. The imbalance between what Pakistan buys from abroad and what it sells abroad therefore played a central role in pushing the current account into negative territory.
Current Account Deficit (CAD) fell to $8 million in September 2023 compared to a deficit of $164 million in August 2023, and thus CAD improved by $156 million. https://t.co/q3LNv3HOB0 https://t.co/Od8ikVvXrd #SBPBOP https://t.co/DGXEyF6C37
Looking at the first three months of the fiscal year 2026‑27 (Q1 FY27), the current account deficit amounted to $874 million. This represents a 26 percent increase year‑on‑year from the $755 million deficit recorded in the same period of the prior fiscal year. During Q1 FY27, imports totaled $17.8 billion, up 14 percent from the previous year, while exports rose to $8.4 billion, an 8 percent increase over the prior year. The faster growth of imports relative to exports amplified the quarterly shortfall, even though both sides of the trade ledger expanded.
The faster growth of imports relative to exports amplified the quarterly shortfall, even though both sides of the trade ledger expanded.
Despite the worsening trade gap, the State Bank of Pakistan noted that remittance inflows remained steady.
The data for September 2026 were made public on 16 October 2026, when the State Bank of Pakistan released the latest current account figures. The timing of the release placed the September numbers in the public domain shortly after the month ended, allowing policymakers and analysts to assess the immediate direction of the external account.
The shift from a $133 million surplus in September 2025 to a $356 million deficit in September 2026 highlights how a combination of higher import bills and only modest export gains can erase a previously positive external balance. The year‑on‑year worsening of the quarterly deficit—up 26 percent to $874 million—further signals that the pressure on the current account persisted throughout the early months of FY27.
A rising current account deficit indicates that a country is spending more on foreign goods, services, and income than it is earning from abroad. In Pakistan’s case, the September shortfall was primarily fueled by a larger import bill, which grew faster than export earnings. While steady remittances helped cushion the impact, the persistent gap between imports and exports suggests that the country will need to rely on other inflows—such as foreign investment or borrowing—to finance the shortfall and maintain reserve levels. The State Bank’s publication of these figures provides a concrete measure of the external strain that policymakers face as they monitor the balance of payments.
