{
  "id": 11586353,
  "title": "Exports increase 11pc amid soaring deficit",
  "url": "https://urgent.news/2026/10/03/exports-increase-11pc-amid-soaring-deficit",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-03T01:25:59.000Z",
  "source": {
    "name": "Dawn Business",
    "slug": "dawn-business",
    "url": "https://www.dawn.com/news/2034340/exports-increase-11pc-amid-soaring-deficit"
  },
  "original_language": "en",
  "account": "Pakistan's merchandise exports increased by 10.84 percent in the first quarter of fiscal year 2027 (FY27), even as the country's trade gap widened due to soaring imports, according to a report released by the Pakistan Bureau of Statistics on Friday. The export earnings totaled $8.43 billion in July-September, up from $7.59 billion in the same period last year. Officials acknowledged that the effects of budgetary measures on the export sector might become more visible in the coming months.\n\nDespite Prime Minister Shehbaz Sharif's dissatisfaction with the exporters' performance, exports surged by 17.61 percent to $2.94 billion in September, compared to $2.49 billion in the same month a year ago. This suggests a revival of the export sector. Exports grew by 16.07 percent month-on-month.\n\nIn the previous fiscal year, Pakistan's merchandise exports fell short of the annual target by $4.87 billion and even contracted, indicating the PML-N-led coalition government's inability to achieve tangible improvements over the past four years. Import proceeds also declined by 5.97 percent to $32.04 billion in FY26.\n\nJawed Bilwani, Coordinator of the All Pakistan Exporters Association Forum, stated that exporters are grappling with survival amid unprecedented challenges, including soaring manufacturing costs, a lack of competitiveness, and the absence of a level playing field. Bilwani highlighted that Pakistani exporters operate on slim profit margins compared to their regional counterparts, face higher taxes than other businesses, and endure protracted delays in refund payments without compensation. Arbitrary deductions by the Federal Board of Revenue (FBR), liquidity pressures, and high operational costs are also crippling the sector.\n\nThe export sector had been facing pressure since February due to the Middle East conflict. The disruptions in the Strait of Hormuz have increased shipping costs for exporters and disrupted supply chains. Additionally, exports to Afghanistan have been suspended since October 2025, which is another significant export market. According to PBS data, imports rose by 13.21 percent to $19.22 billion in 1QFY27, from $16.97 billion in the corresponding quarter of the previous year. In September, import value increased by 11.05 percent to $6.49 billion, from $5.84 billion in the same month last year. Imports grew by 11.05 percent month-on-month. In FY26, the import bill grew by 7.89 percent to $69.59 billion from $64.51 billion in FY25. The trade deficit expanded by 15.13 percent to $10.79 billion in 1QFY27, up from $9.37 billion during the corresponding quarter last year. In September, the trade deficit grew by 6.15 percent to $3.55 billion from $3.35 billion in the corresponding month last year.",
  "summary": "ISLAMABAD: Pakistan’s merchandise exports grew by 10.84 per cent in the first quarter of the current fiscal year (FY27), despite the trade gap widening on the back of rising imports, the Pakistan Bureau of Statistics reported on Friday. In absolute terms, export proceeds stood at $8.43 billion in July-September, up from $7.59bn in the corresponding period last year. Officials noted that the…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}