Current account deficit shrank to $2.56bn in FY23 against FY22's $17.48bn: Dar

Says that's Pakistan avoided default

ISLAMABAD/KARACHI (Web Desk) – Finance Minister Ishaq Dar on Tuesday said the current account surplus (CAS) for June 2023 stood at $334 million against a current account deficit (CAD) of $2,321 million in the corresponding month last year.

On the other hand, CAD for 2022-23 remained at $2.56 billion, which was just 14.65 per cent of $17.48bn for the 2021-22, Dar said in a tweet as he remarked. “That’s how Pakistan didn’t default!”

Current Account Surplus (CAS) for June2023 closed @ $ 334 million against Current account Deficit (CAD) of $ 2,321 million in June2022 CAD for FY23 closed @ $ 2.56 billion, which is 14.65% of CAD of US$ 17.48 billion for FY22. That’s how Pakistan didn’t default! AlhamdoLilah

— Ishaq Dar (@MIshaqDar50) July 18, 2023

Separately, the finance minister said the huge reduction in current account deficit was a result of the government efforts. He was referring to decrease in imports that made the difference possible.

He said some pundits had been regularly claiming that Pakistan would default – the very people who pushed the country to the verge of default.

Pakistan had fulfilled all the obligation on time and was in safe zone, the finance minister remarked as the country is witnessing increase in foreign reserves thanks to the deal made with the International Monetary Fund (IMF) and financial assistance coming from the friendly countries.

On the other hand, the State Bank of Pakistan shared the detailed figures which are part of the monthly exercise.  

Current Account recorded a surplus of $334 million in Jun 2023.https://t.co/Od8ikVvXrd#SBPBOP pic.twitter.com/llVGIKiKNa

— SBP (@StateBank_Pak) July 18, 2023