Current account slips into $139m deficit in FY26

Pakistan's current account ended the fiscal year with a small $139 million deficit, turning around from a surplus the previous year, according to the State Bank of Pakistan. The significant shift is largely due to a sharp $649 million deficit in June 2026, though strong remittances kept the overall deficit low. This change reflects a decline in foreign direct investment by 34% to $1.64 billion and underscores the economic challenges Pakistan faces as it navigates fluctuating trade balances and investment flows.