New Delhi, July 29 (SocialNews.XYZ) Pakistan’s exports to the Middle East declined by over 2 per cent year-on-year to $3.093 billion in financial year 2025-26, showing the impact of ongoing regional conflicts and geopolitical uncertainties on trade flows, according to a report.
A report published in Dawn -- citing State Bank of Pakistan -- highlighted that exports to key regional markets, including Saudi Arabia, Qatar, Bahrain and Jordan, recorded a decline during FY26, while shipments to Kuwait increased. Exports to the United Arab Emirates (UAE), Pakistan’s largest export market in the region, remained largely unchanged.
Pakistan’s imports from the Middle East also contracted by 4 per cent to $16.413 billion in FY26 from $17.097 billion in the previous year, driven mainly by lower imports from Bahrain, Qatar and Kuwait.
However, imports from the UAE, Saudi Arabia and Jordan increased during the period.
The data showed that Pakistan’s trade flows remained sensitive to geopolitical developments, particularly disruptions affecting energy corridors. June marked the fourth month after March to witness a contraction in imports, highlighting the impact of regional uncertainties on trade activity.
Pakistan continues to remain heavily dependent on energy imports from the Middle East, with the UAE and Saudi Arabia accounting for around 90 per cent of such supplies. Other countries, including Qatar, Kuwait, Oman and Bahrain, remain secondary contributors despite their export potential.
The country’s trade deficit with the Middle East narrowed by 4.48 per cent to $13.32 billion in FY26 from $13.94 billion in the previous fiscal year.
In FY25, Pakistan’s trade deficit with the region had widened by 7.37 per cent to $13.974 billion from $13.014 billion in FY24.
Among key markets, exports to Saudi Arabia declined by 3 per cent to $682.56 million in FY26 from $706.04 million in the previous year.
Source: IANS
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