Pakistan recorded a current account deficit of $139 million in FY2025–26 (July–June), reversing the $1.84 billion surplus posted in the previous fiscal year, according to data released by the State Bank of Pakistan (SBP).

In June 2026, the current account posted a deficit of $649 million, compared with a surplus of $220 million in June 2025 and a $500 million surplus recorded in May 2026.

The deterioration was primarily driven by a sharp increase in imports. During June, total exports increased 8.0% year-on-year to $3.55 billion, while imports surged 19.5% to $7.08 billion, widening the monthly trade deficit in goods and services by 34.0% to $3.53 billion.

For the full fiscal year, exports edged up 0.2% to $40.88 billion, whereas imports rose 8.5% to $76.39 billion. As a result, the trade deficit widened to $35.51 billion, compared with $29.64 billion in FY2024–25.

Workers' remittances continued to provide support to the external account. In June 2026, remittance inflows increased 2.0% year-on-year to $3.48 billion, although they declined 18.3% from $4.25 billion recorded in May.

The latest figures indicate that while Pakistan's export earnings and remittance inflows remained resilient, the faster pace of import growth placed pressure on the external account, pushing the country back into a modest current account deficit during FY26.