Gohar Ejaz says growing trade deficit poses risk of payment crisis
Chairman Economic Policy and Business Development Gohar Ejaz expressing his concern said growing trade deficit posed a risk of payments crises, reported 24NewsHD TV channel on Friday.
In a statement, Gohar Ejaz said in the first quarter of the fiscal year, the trade deficit has increased by 33.8 percent to $9.43 billion.
Gohar Ejaz said exports decreased by 3.9 percent to $7.6 billion while imports increased by 13.9 percent to $17 billion.
He said a 27 percent decline in food group exports has dealt a major blow to domestic exports.
During this period, imports from the transport group increased by 142 percent while textile imports have also increased by 44 percent, Gohar Ejaz said.
He said trade imbalance is indicating fundamental reform shortcomings.
Gohar Ejaz said the basic level of domestic exports is extremely low and exports are low-valued and non-diversification.
He said domestic imports are consumption-based and uncertain and export-based economy is the only solution to these problems.
Gohar Ejaz said domestic exports should be made competitive and innovation and productivity in exports should be increased and the scope of exports should be expanded.
Without solving these problems, Pakistan will continue to face a payments crisis and may face a boom-bust cycle, Gohar Ejaz concluded.
Make Exports Competitive — The Only Solution to the Country’s Rising Trade Deficit
— Dr Gohar Ejaz (@Gohar_Ejaz1) October 17, 2025
Pakistan’s trade deficit widened by 33.8% YoY in Q1FY26, reaching $9.43 billion, as exports fell 3.9% to $7.6 billion, while imports surged 13.9% to $17.03 billion.
The decline in exports was… pic.twitter.com/aNACoMWaxg
Reporter: Waqas Azeem