Pakistan’s Trade Deficit Rises Over 39% Due to Decline in Exports to Afghanistan

Pakistan’s State Bank has announced that the country’s trade deficit has increased by more than 39% compared to last year, with the decline in exports to Afghanistan identified as one of the main factors behind this situation.

According to the bank’s report, after China, Afghanistan was the second-largest market where Pakistan’s exports have seen a significant drop. This decrease has occurred amid serious trade restrictions between the two countries in recent months.

The report states that since October 10, Islamabad has halted all kinds of trade with Afghanistan, including exports, a move that has had direct economic consequences for both sides.

Official statistics show that Pakistan’s trade deficit has risen from $4.4 billion to $6.2 billion; the State Bank of Pakistan attributes this increase to falling exports and the narrowing of regional markets.

Earlier, Afghanistan’s Chamber of Commerce and Investment stated that during the same period, trade between the two countries worth approximately $600 million was suspended, and Afghan fruits and vegetables worth $50 million spoiled at Pakistani border crossings— a situation that has raised serious concerns among traders and residents of border areas.