Current Account turns into a surplus during May 2020
ISLAMABAD: Pakistan's Current Account Deficit (CAD) during the month of May 2020 has shown a surplus of $13 million, compared to a deficit of $530 million reported in the previous month i.e. April 2020.
Whereas, in the month of May 2019, Current Account was in the deficit of $1004 million.
This is the second month of this financial year that the current account has shown a surplus, as it was positive in October 2019 by $70 million.
Cumulatively, Pakistan's CAD during July-May FY20 has narrowed by 74% YoY to stand at $3.3 billion compared to the deficit of $12.45 billion in the corresponding period of last year.
The trade deficit in Goods improved by 29% YoY to $17.94 billion in the first 11 months of FY20 as imports declined by 19% YoY to $38.87 billion while exports also decreased by 7% YoY to $20.9 billion.
Trade balance in services, while still negative, also improved by 42% courtesy of a 24% YoY reduction in imports though the exports also decreased by 9% YoY.
Worker remittances in the first 11 months of FY20 improved by a slight 3% YoY to $20.65 billion from $20 billion in the corresponding period of FY19. - Mettis Link News