Deficit rises 46% year-on-year; government urged to take immediate corrective action, Muhammad
Ikram Rajput
KARACHI: President of the Korangi Association of Trade and Industry (KATI), Muhammad Ikram Rajput,
has expressed deep concern over the country’s widening trade deficit, warning that it has reached an
alarming level.
He said Pakistan’s trade deficit surged to $3.34 billion in September 2025, marking an increase of around
46 percent compared to the same period last year. “The economy is under severe pressure,” Rajput
noted, adding that exports declined by 11.7 percent to $2.5 billion, while imports rose by 14 percent to
$5.85 billion.
Highlighting the challenges faced by industrialists, the KATI president said that the rising cost of
production, particularly the continuous increase in electricity tariffs, has become the biggest obstacle for
export-oriented industries. He warned that this trend is severely affecting the competitiveness of
Pakistani products in the global market.
Rajput urged the government to immediately reduce the policy interest rate to lower the cost of doing
business and help revive industrial activity. He also called for urgent consultations between the
government, traders, and industrialists to formulate a comprehensive strategy aimed at stabilizing the
national economy.
“The growing trade deficit has now become a national issue,” Rajput cautioned. “If timely measures are
not taken, it could pose a serious threat to the country’s financial stability.”
He emphasized that boosting exports through concrete and sustainable measures is the need of the
hour to restore investor confidence and strengthen the economic foundation.
