In the first half of fiscal year 2024-25, Pakistan’s exports increased by 10.5% year-on-year, totaling $16.56 billion. The textile sector led with $9.62 billion, and agricultural exports, including rice, reached $4.1 billion.
However, February 2025 saw a 5.57% decline in merchandise exports compared to the previous year, marking the first negative trend in the fiscal year. 
IT Sector Growth
Pakistan’s IT exports rose by 19% year-on-year in February 2025, reaching $305 million. This growth is attributed to global client expansion, relaxed foreign currency retention limits, and the introduction of equity investment abroad options for IT firms.  
Strategic Initiatives
Finance Minister Muhammad Aurangzeb announced plans to double exports to over $60 billion in the next five years, focusing on trade ties with Gulf Cooperation Council countries and establishing special economic zones. 
Regional Trade
Exports to Bangladesh increased by 26.5% to $525 million, while exports to Sri Lanka rose by 4.6% to $279 million. However, exports to China declined by 13.9%, totaling $1.05 billion in the first five months of FY25.
Global Trade Dynamics
The U.S. and China agreed to a 90-day rollback of tariffs, aiming to ease economic tensions and avoid a complete decoupling. 
Despite this, concerns about the future of global free trade persist. World Trade Organization Director-General Ngozi Okonjo-Iweala highlighted the ongoing crisis in global free trade, urging countries to defend open markets amid rising protectionist measures.