Pakistan’s Current Account Balance (CAB) has turned into a surplus for the second consecutive month in August 2020, revealed State Bank of Pakistan (SBP) in its latest data on Wednesday.

As per SBP, the CAB surplus was led by impressive growth in workers’ remittances and lower import payment. CAB surplus amounted to $508 million and $297mn during July and August 2020.

Meanwhile, the cumulatively CAB reached a surplus of $805mn during Jul-Aug FY21 compared to a deficit of $1.2 billion recorded in the same period last year.

SBP was of the view that efforts to attract workers’ remittances, flexible exchange rate and relatively benign import prices explain the improving current account balance.

Furthermore, the Balance of Trade in Goods and Services in August stood at a deficit of $1.751bn as compared to a deficit of $2.018bn.

The Current Account percentage of GDP stood at 1.3pc in August as compared to 2.2pc recorded in July.