Exports and Remittances Expected to Rise in FY2026-27, Imports and Trade Deficit Also Projected to Increase

ISLAMABAD (Rizwan Abbasi): The federal government has set higher targets for exports and workers’ remittances in the upcoming fiscal year 2026-27, while projecting an increase in imports, trade deficit, and current account deficit, according to budget documents.

The budget documents reveal that exports are targeted to reach over $32.85 billion in FY2026-27, compared to an estimated $30.31 billion by the end of the current fiscal year.

Imports are projected to exceed $70 billion in the next fiscal year, up from an estimated $66.29 billion during FY2025-26.

Similarly, the trade deficit is expected to widen to $37.17 billion in FY2026-27, compared to an estimated $35.99 billion in the outgoing fiscal year.

Overseas Pakistanis are expected to send $42.39 billion in remittances during the next fiscal year, compared to an estimated $41.28 billion in FY2025-26.

The budget documents further indicate that the current account deficit is projected at $3.60 billion for FY2026-27, significantly higher than the estimated $1.08 billion for the current fiscal year.

Economic analysts believe that growth in exports and remittances could provide support to the country’s economy and foreign exchange reserves. However, the anticipated rise in imports and external deficits may pose challenges for maintaining macroeconomic stability, requiring prudent fiscal and economic management by the government.