Pakistan’s Exports Rise 7.7% to $8.5 Billion in First Quarter of FY2026-27

Pakistan’s exports increased by 7.7 per cent to $8.5 billion during the first quarter of fiscal year 2026-27, while workers’ remittances reached $10.9 billion, registering a 14 per cent year-on-year increase, according to the Finance Ministry’s monthly economic outlook report.

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The report showed growth in exports, remittances, foreign direct investment and tax collection during the July-September period. However, imports also increased, while inflation remained above 10 per cent.

Remittances Reach $10.9 Billion

Pakistan received $10.9 billion in workers’ remittances during the first quarter of FY2026-27, up 14 per cent compared with the same period last year.

In September 2026, remittances increased by 12.7 per cent year-on-year to $3.6 billion.

Exports recorded a 7.7 per cent increase to $8.5 billion during the quarter. September exports rose by 15.5 per cent to $3 billion.

Meanwhile, imports increased by 14.1 per cent to $17.8 billion during the first quarter. In September alone, imports reached $6.2 billion, registering a 22.7 per cent annual increase.

Foreign Investment and Currency Reserves

Foreign direct investment (FDI) reached $719.7 million during the first quarter, marking a 19.9 per cent increase compared with the corresponding period last year.

FDI inflows in September stood at $219.5 million.

The State Bank of Pakistan’s foreign exchange reserves were recorded at $21.5 billion in October 2026.

According to the Finance Ministry report, the Pakistani rupee was valued at Rs278.6 against the US dollar on October 28.

FBR Collects Rs3,286 Billion in First Quarter

The Federal Board of Revenue (FBR) collected Rs3,286 billion in taxes during the first quarter of FY2026-27.

Tax collection in September stood at Rs1,363 billion, representing an 11.5 per cent increase compared with the same month last year.

Federal non-tax revenue reached Rs2,935 billion during the quarter.

The government recorded a fiscal deficit of Rs1,971 billion, while the primary budget surplus stood at Rs2,113 billion.

Agricultural lending also increased, reaching Rs540.5 billion during the first quarter. This represented a 32.7 per cent rise compared with the same period last year.

Inflation Remains Above 10 Per Cent

The Finance Ministry report showed that the policy rate stood at 12 per cent on October 26, 2026.

Average inflation during the first quarter of FY2026-27 was recorded at 10.2 per cent. The inflation rate for September increased to 10.3 per cent, compared with 5.8 per cent in September last year.

The figures indicate continued inflationary pressure despite improvements in several economic indicators.

Large-Scale Manufacturing Records Growth

Large-scale manufacturing (LSM) output increased by 1.85 per cent during the first quarter of FY2026-27.

In August 2026, the sector recorded growth of 0.67 per cent, according to the report.

The manufacturing figures point to an improvement in industrial activity during the reporting period.

PSX Market Capitalisation Reaches Rs18.33 Trillion

The Pakistan Stock Exchange’s index stood at 165,736 points on October 28, representing a 3.52 per cent increase compared with October last year.

Market capitalisation in October 2026 reached Rs18.33 trillion, equivalent to $66.22 billion.

The report also highlighted growth in business registrations. A total of 15,440 new companies were registered during the first quarter of FY2026-27, marking a 37.3 per cent increase compared with the same period last year.

The latest economic outlook presents a mixed picture of Pakistan’s economy, with higher exports, remittances, investment and business registrations alongside rising imports and persistent inflation.