Surging M2 undermines export competitiveness
Fiscal financing, credit expansion, bank deposits boosted by remittances expand broad money supply ISLAMABAD’: Pakistan’s export sector continues to underperform despite repeated currency depreciations, IMF-supported stabilisation and periodic policy interventions. Merchandise exports have largely remained between $28-32 billion over the past four years. Exports reached $32.1 billion in FY2025, but declined 6.8% to $30.13 billion…