Current account slips into $139m deficit in FY26
Pakistan concluded the 2026 fiscal year with a current account deficit of $139 million, a reversal from the previous year's surplus. Despite strong remittance inflows, the economy faced pressure from high import costs and geopolitical instability.
Why it matters
The economic health of Pakistan is critical for regional stability and impacts global emerging market investment strategies.
An employee of a foreign exchange shop counts US dollar banknotes from behind a glass booth in Karachi on September 7, 2023. — Reuters/File Listen to article 1x 1.2x 1.5x comments Join our Whatsapp Channel Add Dawn as a trusted source • CAD gap hits $649m in June • Foreign direct investment declines 34pc to $1.64bn
KARACHI: Pakistan ended the outgoing fiscal year with a current account deficit (CAD) of $139 million, reversing a surplus of $1.838 billion recorded in 2024-25, the State Bank of Pakistan reported on Friday.
The deficit remained negligible compared to the sharp monthly deficit recorded in June 2026, largely because of strong remittance inflows during the year.
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