Pakistan Economic Outlook May 2026: KSE-100 Hits Record High Amid Rising Inflationary Pressure
A comprehensive review of Pakistan’s economic indicators for May 2026, highlighting a historic surge in the stock market, widening trade deficits, and increasing CPI inflation.
Pakistan Trade Deficit Widens to $27.81 Billion Amid Export Slump
Pakistan Bureau of Statistics data reveals a 22.65% surge in the trade deficit during the first nine months of FY26 as imports double export values.
Pakistan Trade Deficit Widens to $27.81 Billion in First Nine Months of FY26
Pakistan Bureau of Statistics reports a 22.65% increase in the trade deficit during 9MFY26 as exports decline and import costs rise amid global pressures.
From Hormuz to Karachi: War, Oil, and the Economic Fault Lines Beneath Pakistan
Rising tensions around the Strait of Hormuz are sending oil price signals across global markets, with direct consequences for Pakistan’s inflation, currency stability, energy imports, and overall economic outlook.
State Bank of Pakistan Expected to Keep Policy Rate at 10.5% as Oil Prices and Regional Tensions Pressure Inflation
Pakistan’s central bank is widely expected to keep the policy rate unchanged at 10.5% as rising global energy prices, regional tensions, and inflation risks limit the space for further monetary easing.
Pakistan Trade Deficit Rises 28.22% to $22.04bn in 7MFY26: PBS
Pakistan’s trade deficit increased by 28.22% year-on-year to $22.04 billion during the first seven months of FY26, as higher imports and lower exports weighed on the external balance, according to PBS data.
Pakistan Exports Cross $3bn, Trade Deficit Narrows 28.5% in January 2026
Pakistan’s exports crossed the $3 billion mark for the first time in January 2026, while the trade deficit narrowed by 28.53% month-on-month, supported by rising exports and falling imports.
Pakistan Trade Deficit With Neighbours Jumps 39% in First Five Months of FY2025-26
Pakistan’s trade deficit with nine neighbouring countries surged by over 39% to $6.221 billion in the first five months of FY2025-26, driven by falling exports to China and Afghanistan and rising regional imports, according to State Bank of Pakistan data.
Pakistan Trade Deficit Surges to $2.86 Billion in November 2025 as Exports Fall
Pakistan’s trade deficit rose 33% year-on-year in November 2025 to $2.86 billion as exports declined and imports increased, according to PBS data.
Pakistan’s Current Account Deficit Surges 255% in First Four Months of FY26 Amid Rising Imports
Pakistan’s current account deficit widens to $733 million in July–October FY26, driven by rising imports and declining exports, while remittances provide partial relief, according to State Bank of Pakistan data.