Business

Major dip in exports and imports in July shrinks trade deficit

Published

12 months ago

Farwa

Pakistani exports and imports fell by double digits in July.
July trade bulletin reveals goods exports amounted to over $2bn.
Decline partly attributed to import ban to manage dollar shortage.

ISLAMABAD: Pakistani exports and imports fell by double digits in July, registering a major decline as compared to the previous month, The News reported, citing the Pakistan Bureau of Statistics (PBS) data.

As per the PBS data, the exports dropped 12.7% in the first month of the current fiscal, while the month-on-month drop was 8.6%.

PBS data showed that imports also witnessed a substantial decrease of 13.75% compared to the previous month and 26.4% compared to the same month a year ago.

The trade bulletin for July 2023 revealed that goods exports amounted to $2.057 billion, down from $2.356 billion in June 2023 and $2.25 billion in July 2022. Meanwhile, goods imports in July 2023 were valued at $3.66 billion, down from $4.2 billion in June 2023 and $4.98 billion in July 2022.

This decrease in imports helped reduce the trade deficit by 41.2% to $1.61 billion in July 2023 compared to $2.73 billion in July 2022.

In June 2023, the trade gap was $1.86 billion.

The decline in imports was partly attributed to the government’s decision to ban several luxury items in an effort to manage the dollar shortage in the economy.

Throughout the fiscal year 2022-23, the country saw a significant reduction in the trade deficit, which shrunk by 43% to $27.55 billion, down from $48.35 billion in the previous fiscal year. During the same period, total exports declined by 12.7%, reaching $27.7 billion, while imports shrank by 31%, amounting to $55.3 billion.

The PBS also reported the services trade performance data for July-June 2022-23. According to the trade statistics for international services during this period, local companies imported more services than they exported.

The trade deficit in services witnessed a remarkable decrease of 87.7%, reaching $719.4 million in FY23 compared to $5.84 billion in FY22.

In FY23, the economy hired the services of foreign companies for $8.02 billion and exported services abroad for $7.3 billion.

In FY22, the country’s services exports were recorded at $7.1 billion, and imports stood at $12.9 billion, representing an increase of 2.78% in services exports and a 38% decline in imports.

In June 2023, services exports were valued at $571 million, while imports amounted to $655 million, resulting in a deficit of $84 million. In May 2022, exports were recorded at $607 million, imports at $903 million, and the deficit at $296 million.

During the month under review, services exports decreased by 5.9%, and imports decreased by 27.5% compared to the previous month. Comparing June 2023’sservices to the trade performance of the same month the previous year, exports were down by 14%, and imports shrunk by 50.7%.

In June 2022, services exports amounted to $664 million, and imports reached $1.328 billion, resulting in a deficit of $664.9 million.

In June 2023, the services trade deficit was recorded at $84 million, marking a reduction of 87.4% compared to the corresponding month of the previous year.

Business

An investigation was “launched” into PTA’s inability to get Rs. 78 billion back from Telcos

Published

18 hours ago

Farwa

The PTA has reportedly been instructed to reply to NAB by July 29. According to the enquiry, the national exchequer has suffered losses as a result of the delay in collecting dues.

The PTA has been asked to provide NAB with information about any pertinent records, court proceedings, and overdue bills. The NAB Karachi has summoned the PTA officials to appear with all pertinent documentation.

All of the principle sum has to be paid by the LDI firms, according to sources. But due to judicial stay orders, the collection of dues has been impeded.

These sources further state that a steering group has been established by the Ministry of IT to supervise the issue of dues recovery.

In a previous event, the tariffs levied on importing cell phones from outside were clarified by the Pakistan Telecommunication Authority (PTA).

Contrary to what some internet reports claim, PTA clarified in response to recent news regarding the tariffs on mobile phone imports that there hasn’t been a formal decision to remove these levies in Pakistan.

the PTA.Pakistanis living abroad will be the only ones free from these levies, according to the PTA. A SIM card can be inserted and the phone restarted to temporarily register a device for non-PTA mobile subscribers.

Business

Weekly inflation in Pakistan increased by 0.17 percent.

Published

18 hours ago

Farwa

The SPI for the week under review in the aforementioned group was reported at 321.95 points, as opposed to 321.40 points during the previous week, according to the PBS statistics.

The SPI for the combined consumption group saw a 20.09 percent increase in the week under review compared to the same week the previous year.

The weekly SPI includes 51 necessary items for every spending group and 17 urban areas, with a base year of 2015–16 = 100.

The SPI for the lowest consumption category, which is up to Rs 17,732, grew by 0.08 percent from 311.97 points to 312.22 points this past week.

0.18 percent,The index of consumption for the lowest consumption groups, which are Rs 17,732-22,888, Rs 22,889-29,517, Rs 29,518-44,175 and above Rs 44,175; increased by 0.13 percent, 0.15 percent, 0.18 and 0.19 percent, respectively.

Nineteen (37.25%) of the fifty-one commodities had price increases over the week, eight (15.69%) had price decreases, and twenty-four (47.06%) had unchanged pricing.

On a weekly basis, the following commodities saw significant price decreases: tomatoes (9.19%), onions (2.14%), LPG (1.04%), bananas (0.53%), wheat flour (0.35%), potatoes (0.17%), pulse masoor (0.16%), and bread (0.05%).

Chicken (4.80%), garlic (2.01%), pulse gramme (1.87%), eggs (1.71%), beef (0.93%), gur (0.89%), pulse moong (0.84%), fresh milk (0.45%), firewood (0.23%), and cigarettes (0.12%) were among the items whose average prices increased significantly week over week.

The commodities that saw a year-over-year decline were: wheat flour (31.75%); cooking oil (13.44%); vegetable ghee 2.5 kg (10.42%); vegetable ghee 1 kg (9.85%); mustard oil (8.33%); eggs (5.82%); rice basmati broken (4.15%); and tea package (2.52%).

Gas prices for Q1 (570.00%), onions (96.01%), pulse gramme (40.39%), powered milk (39.11%), garlic (34.61%), pulse moong (29.77%), men’s sandals (25.01%), beef (23.52%), salt powder (23.28%), pulse mash (22.50%), and energy saver (17.96%) were among the commodities whose average prices increased year over year.

Business

The price of gold has drastically dropped in Pakistan.

Published

2 days ago

Farwa

As per the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the cost of 24-karat gold per tola decreased by Rs 2,300, standing at Rs 250,500.

A kilogramme of 24-karat gold costing Rs1,972 less at the local market, making it worth Rs2114,763. Ten grammes of 22-karat gold had a price decrease to Rs196,866 as well.

After losing a significant $43 during the day, the rate per ounce of gold on the international market also decreased. It currently stands at $2,370.

On Thursday, the price of 24-karat silver also experienced a decline, falling by Rs60 to settle at Rs2,860 petal.