ISLAMABAD: Export of services witnessed a substantial decline of over 28 per cent in the first 10 months of the current fiscal year from a year ago.

In absolute terms, export of services fell to $4.188 billion in July-April 2013-14 as against $5.86bn over the corresponding period of last fiscal year, suggested data compiled by Pakistan Bureau of Statistics on Wednesday.

The decline was mainly driven by decrease in exports of government services.

On monthly basis, the services export witnessed an increase of 7.31pc in April 2014 over the same month last year.

Export of services reached to $6.618bn in 2012-13 compared with $5.035bn in 2011-12.

The services sector has emerged the main driver of economic growth. Its share in GDP increased to 57.7pc in 2012-13 from 56pc in 2005-06.

Pakistan has opened up its market to foreign service providers, particularly in banking, insurance, telecommunications, retail and some other sectors.

But import of services dropped to $6.359bn in July-April 2014 from $6.791bn over the corresponding months of last year, reflecting a decline of 6.36pc.

Last year, import of services declined to $7.758bn in July-June 2012-13 period as against $8.227bn in the same period last year.

On monthly basis, imports of services witnessed an increase of 6.55pc in April 2014 over the corresponding month of last year.

Published in Dawn, June 19th, 2014