ISLAMABAD: Pakistan’s services’ exports declined by 16.72pc YoY to $389.99 million in May 2020, as against $468.27 in May last year.
According to data released by the Pakistan Bureau of Statistics (PBS), the country’s services’ exports have taken a significant hit following the imposition of countrywide lockdown in March to contain the pandemic.
On a cumulative basis, services’ exports during the first 11 months (July-May) of FY20 fell by 8.52pc to $5.05 billion, as against $5.520 billion in the corresponding period last year.
On the other hand, services’ imports also fell to $7.750 billion in July-May FY20, as compared to $10.146 billion in the period of last year, reflecting a decline of 23.61pc.
In May 2020, import of services fell by 59.79pc YoY to $468.03 million.
As a result, the trade deficit in services narrowed by 41.63pc to $2.7 billion in 11MFY20 as against $4.625 billion over the same period last year.
It is pertinent to mention the services sector has emerged as the main driver of economic growth with its share in the GDP increasing from 56pc in 2005-06 to 61.4pc in 2019-20.
Its major sub-sectors include finance and insurance, transport and storage, wholesale and retail trade, public administration and defence.