Pakistan In Focus - ECONOMIC TIMES OF PAKISTAN-Trade deficit contracts 36pc to $3.9bn in Jul-Aug fy20.

Pakistan's trade deficit shrank 36percent to $3.9 billion in first two months of the current fiscal year on the back of a one-fifth reduction in imports but exports marginally grew by 2.8percent despite a steep currency depreciation that added a heavy cost to the economy.

The trade figures released finally by the Pakistan Bureau of Statistics (PBS) on Friday after a delay of 10 days showed that exports contracted both on a month-on-month and year-on-year basis in August despite over one-third devaluation of the rupee against the US dollar.

Cumulatively, the exports grew 2.8percent or just $102 million to $3.75 billion in the July-August period of the current fiscal year, which suggested a serious review of the monetary policy.

Overall, the trade deficit, which stood at $6.1 billion in the same period of last fiscal year, shrank to $3.9 billion in first two months of this fiscal year, the PBS reported.

In absolute terms, there...