Islamic Republic of Pakistan
South Asia · Arabian Sea coast · fiscal year runs July–June
- Capital
- Islamabad
- Largest city
- Karachi
- Languages
- Urdu (national language); English used for official purposes
- Demonym
- Pakistani
- Government
- Federal parliamentary republic
- Currency
- Pakistani rupee (PKR · Rs)
- Population
- 241.5 million (2023 census, PBS)
- WTO member
- Yes — since 1995
- Fiscal year
- July to June (FY2025-26 = July 2025 – June 2026)
- Trade arrangements
- China–Pakistan FTA; SAFTA; EU GSP+ preferences
Pakistan's Geography & People
Pakistan lies in South Asia, bordering India, China, Afghanistan and Iran, with a coastline on the Arabian Sea. Karachi is its main port and largest city.
The 2023 census counted about 241.5 million people (Pakistan Bureau of Statistics), making it one of the world's most populous countries.
Pakistan's Economy
Textiles and clothing are the backbone of Pakistan's exports, followed by rice and other food products. The country relies heavily on imported fuel, edible oil and machinery.
Higher global oil prices linked to conflict in the Middle East pushed up the import bill in 2026.
Pakistan's Trade Policy
Pakistan has a free trade agreement with China and is part of the South Asian Free Trade Area (SAFTA). Its exporters benefit from the EU's GSP+ scheme, which cuts or removes EU duties on many Pakistani goods.
Trade with Afghanistan has been suspended since October 2025, costing exporters a market worth nearly $1.5 billion a year (Dawn, PBS data).
Pakistan's Trade Position
Exports fell and imports rose in FY2025-26, widening the goods deficit (PBS). Exports missed the government's target of $35.3 billion.
The new fiscal year began with export growth, led by rice and textiles, but imports grew faster.
Pakistan's Top Trading Partners
Goods · Jul–Dec 2025 · PBSChina is Pakistan's largest trading partner, with 24.3% of total goods trade in July–December 2025 (the first half of FY2025-26), nearly all of it Pakistani imports. The United States and the UAE follow with about 9% each.
| # | Partner | Total trade (approx.) | Share of trade |
|---|---|---|---|
| 1 | 🇨🇳 China | $12.03B | 24.3% |
| 2 | 🇺🇸 United States | $4.57B | 9.2% |
| 3 | 🇦🇪 United Arab Emirates | $4.55B | 9.2% |
| 4 | 🇸🇦 Saudi Arabia | $2.54B | 5.1% |
| 5 | 🇬🇧 United Kingdom | $1.46B | 2.9% |
| 6 | 🇩🇪 Germany | $1.29B | 2.6% |
Exports plus imports with each partner, from the Pakistan Bureau of Statistics' country tables, which are published in rupees. Shares are calculated from those tables; dollar values apply the shares to total trade of $49,581M and are approximate. Indonesia and Qatar are large import sources but are not among PBS's top 20 export markets, so their two-way totals cannot be calculated. Source: PBS, Quarterly Review of Foreign Trade, October–December 2025-26 (March 2026).