Pakistan’s Current Account Shows Impressive Surplus in March 2025

The State Bank of Pakistan (SBP) reported on Thursday that Pakistan’s current account (C/A) achieved a notable surplus of $1.2 billion in March 2025. This is a stark contrast to the revised deficit of $97 million recorded in the preceding month.

Year-on-year (YoY), the current account demonstrated substantial growth, surging by 230% compared to the surplus of $363 million (revised) registered in the corresponding month of the previous year.

According to brokerage firms such as Topline Securities and Arif Habib Limited, the nation attained its “highest-ever monthly C/A surplus” in March 2025.

Cumulatively, this performance elevates Pakistan’s current account to a surplus of $1.86 billion for the initial nine months of the current fiscal year (9MFY25). This is a significant turnaround from the $1.65 billion deficit observed during the equivalent period in the prior fiscal year.

Khurram Schehzad, Advisor to the Finance Minister, commented that with reduced oil prices and consistently high remittance inflows, Pakistan’s current account is anticipated to maintain a strong surplus through June FY25, potentially extending into FY26. This outlook is expected to bolster overall investor confidence.

Detailed Analysis

In March 2025, the nation’s aggregate exports of goods and services reached $3.51 billion, marking an 8.7% increase from the $3.23 billion recorded in the same month last year.

Correspondingly, total imports amounted to $5.92 billion in March 2025, reflecting an 8% year-on-year rise, as indicated by SBP data.

Workers’ remittances reached $4.05 billion in March 2025, showing an increase of over 71% compared to the previous year.

Moderate economic expansion coupled with elevated inflation has contributed to reducing Pakistan’s current account deficit, alongside increased exports. Elevated interest rates, which have been adjusted downward recently, and certain import restrictions have also supported policymakers in their aim to narrow the current account deficit.