FPCCI concerned over rise in trade deficit

KARACHI: The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has shown concerns over continuous increase in trade deficit of the country, resulting in fiscal imbalances, a statement said on Friday.

The exorbitant increase in imports is exerting pressure on the balance of payments, FPCCI President Ghazanfar Bilour said.

He said latest figures indicate that imports for the fiscal year 2017/18 reached $61 billion, while exports remained at $23 billion, which results in a record high trade deficit of $38 billion.

Despite imposition of the regulatory duty to contain imports, it has gone more than double of the exports, he said. Exports from Pakistan are continuously declining after reaching $25 billion in 2013/14, he said, adding that the import targets for the fiscal year 2018 were set at $48.82 billion.

Pakistan’s imports increased 15 percent due to increase in POL prices, machinery for CPEC and devaluation of the rupee.