Pakistanis Show Cautious Optimism in 2025 as Economic and Social Outlook Improves
Public sentiment in Pakistan improved in 2025 with rising optimism about living standards, economic stability, and leadership approval, highlighting a broad-based recovery in wellbeing across demographics.
Pakistan Launches Economic Governance Reforms as PM Cites Record Low Inflation and Reserve Growth
Prime Minister Shehbaz Sharif launches Pakistan’s Economic Governance Reforms, highlighting record-low inflation, rising reserves, fiscal discipline, and a shift from crisis management to sustainable growth.
PakBanker: 2025 Economic Year in Review — Stabilisation, Compression, and the Narrow Bridge to 2026
An in-depth look at Pakistan’s economy in 2025, examining how IMF-backed stabilisation, tight monetary policy and digital governance reforms restored control without reigniting growth, and what this fragile recovery means as the country heads into 2026.
Pakistan’s External Sector Strengthens as Trade Activity and Remittance Inflows Gain Momentum
Pakistan’s external sector shows rising trade volumes and strong remittance inflows during Jul–Oct FY2026, despite a widening current account deficit driven by higher imports. Export gains, expanding IT services, and growing foreign exchange reserves signal improving external activity.
Pakistan Finance Minister Confirms $1.3 Billion Eurobond Payment After $500 Million Settlement
Finance Minister Muhammad Aurangzeb confirms Pakistan’s commitment to meet a $1.3 billion Eurobond payment due in April 2026 after successfully settling $500 million, highlighting macroeconomic improvements, remittances growth, and upcoming reforms.
Pakistan’s Trade Deficit Surges 46% in September 2025 Amid Falling Exports and Rising Imports
Pakistan’s trade deficit surged 46% in September 2025 to US$3.3 billion, driven by falling exports and rising imports, raising concerns over foreign exchange reserves and economic stability.
Exports and Remittances Cushion Pakistan’s External Account Despite Wider Deficit
Pakistan’s external account remained supported by rising exports and remittances in Jul-Aug FY2026, though a wider current account deficit highlights pressures from imports and service trade imbalances.
Pakistan Secures $3.1 Billion in Remittances During August 2025 Despite Monthly Dip
Pakistan received $3.1 billion in remittances during August 2025, showing 7% annual growth despite a 2% monthly dip. Inflows remain critical for external account stability and household incomes.
Pakistan’s Foreign Reserves Edge Higher as SBP Holdings Cross $14 Billion
Pakistan’s foreign exchange reserves rose modestly, with SBP holdings increasing by $13 million to over $14.26 billion in the week ending August 15, 2025. Total reserves reached $19.57 billion, supported by higher commercial bank holdings and steady fiscal inflows.
Why the State Bank Must Resist Pressure to Tinker with Currency and Rates
The State Bank of Pakistan faces pressure to cut rates and appreciate the rupee, but experts warn these conflicting goals could trigger another economic crisis. Analysts say the SBP must maintain independence, keep real rates high, and avoid policy missteps that risk undermining stability.

