Pakistan's current account has slipped back into deficit after a brief period of surplus, highlighting renewed pressure on the country's external sector.
The latest figures from the State Bank of Pakistan (SBP) show a $650 million deficit in June 2026, driven by higher imports and slowing exports.
According to data released by the State Bank of Pakistan (SBP), the country's current account recorded a deficit of $650 million in June 2026.
The latest figures mark a reversal from May 2026, when Pakistan posted a current account surplus of $500 million. The external account was also in surplus by $220 million in June 2025, indicating a significant year-on-year deterioration.
The SBP data shows that after changes in the external sector during June, Pakistan's current account once again moved from surplus into negative territory.
Fiscal year ends with overall deficit
Despite recording surpluses for much of the year, Pakistan ended fiscal year 2025-26 with an overall current account deficit of $140 million.
This compares with a current account surplus of $1.84 billion in fiscal year 2024-25, reflecting a notable weakening in the country's external balance over the past year.
The shift underscores the growing challenges facing Pakistan's balance of payments as external pressures intensify.
Rising imports, weaker exports
Economic experts attribute the deterioration in the current account primarily to a continuous increase in imports and a slowdown in exports.
According to analysts, higher import payments coupled with lower export earnings have increased pressure on Pakistan's external accounts, affecting the country's overall balance of payments.
Experts also described the situation as a case of declining income and rising expenditure, which pushed the current account from surplus back into deficit.
Economists believe restoring the current account to surplus will remain a major challenge unless Pakistan succeeds in boosting exports while reducing its import bill.
They say strengthening export growth and controlling import-related spending will be essential to improving the country's external sector and maintaining a sustainable balance of payments in the coming months.
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