KARACHI: Pakistan’s current account recorded its highest-ever surplus in a single month, posting $1.2 billion in March 2025, according to the State Bank of Pakistan, mainly fueled by a 37% year-on-year rise in remittances and strong export growth.
Brokerage Topline Securities notes that March's surplus — the highest ever recorded in a single month — compares with a $363 million surplus in the same month last year and a $97 million deficit in February 2025.
This takes the cumulative surplus for the first nine months of FY25 to $1.86 billion, a sharp reversal from the $1.65 billion deficit during the same period last fiscal year.
The previous record for the highest monthly surplus was $981 million in August 2012, as per the brokerage report.
The improvement was underpinned by a 37% year-on-year increase in remittances, which jumped to $4.1 billion in March, also reflecting a 30 % increase from February.
Topline attributed the surge to seasonal inflows (Eid/Ramadan), a rise in migration of workers, improved formal channel routing and favourable incentives from financial institutions. The central bank has since raised its full-year remittance forecast to $38 billion from $36 billion.
On a monthly basis, the Services deficit narrowed to $226 million, down 13% from February, though it was still 14% higher than a year earlier. The primary income deficit rose to $657 million, up 11% year-on-year (YoY).
Exports of goods also grew 10% YoY to $2.77 billion in March, while imports rose 8% to $4.95 billion.
Topline expects the current account to remain in surplus for the remainder of FY25, forecasting a full-year surplus of $1.24 billion, equivalent to 0.3% of GDP.