By Farooq Awan

Pakistan’s exports remained largely stagnant during Jul-Feb FY2026, with total goods and services exports recorded at $27.2 billion, compared to $27.4 billion in the same period last year, according to the Monthly Economic Update & Outlook released by the Finance Division.

The data shows that while overall exports showed little change, sectoral performance varied, with gains in some segments offset by declines in others.

Goods exports totalled $20.7 billion during the period, with the textile sector remaining a central driver of export earnings. The sector remained the main contributor to overall export performance.

Within textile-related categories, knitwear exports increased by 0.4 percent, garments rose by 4.9 percent, and bedwear recorded a growth of 1.0 percent.

Despite these gains, overall export performance remained under pressure due to a decline in food exports, particularly rice, which affected aggregate export growth.

In contrast, services exports showed stronger growth, driven primarily by IT services. IT exports increased by 19.7 percent to $3.0 billion during Jul-Feb FY2026.

The rise in IT exports supported the services account and contributed to overall export earnings, partially offsetting weakness in goods exports.

The data highlights a divergence between goods and services exports, with services showing stronger growth momentum than goods exports, which are relatively stagnant.

The report indicates that while certain export segments recorded modest increases, the overall export base remained narrow, with performance dependent on a limited number of sectors.

At the same time, external demand conditions and sector-specific trends influenced export outcomes during the period.

The combination of steady textile exports and rising IT services exports helped maintain overall export levels, even as declines in other categories limited growth.

Overall, the export sector during FY2026 showed mixed performance, with stability in total exports reflecting gains in selected sectors alongside weaknesses in others.

Credit: INP-WealthPk