Exports to EU rebound, hit $8.86bn in FY25

Pakistan’s exports to European countries posted a year-on-year increase of 7.44 per cent in FY25, largely driven by improved demand in western and southern European markets. According to data compiled by the State Bank of Pakistan, export earnings from the European Union (EU) rose to $8.863bn in FY25, up from $8.249bn in the preceding fiscal year. The rebound was attributed to a modest uptick in demand for Pakistani goods— especially textiles and clothing—across western, eastern and northern Europe. This marks a reversal from FY24, when exports to the EU had declined 3.12pc to $8.240bn despite Pakistan’s continued access to the GSP+ facility, which grants duty-free entry into most European markets. Western Europe remains the top regional destination within the EU for Pakistani exports, with shipments increasing 8.34pc to $4.323bn in FY25 from $3.990bn in FY24.