KARACHI - Current account deficit plunged by 3.796 billion dollars to 462 million dollars during the first three months (July-September) of the current fiscal year, 2009-10. In the same period of last financial year, current account deficit amounted to $4.258 billion. Improvement in financial account and current transfers, particularly workers remittances and surge in long-term loans caused compression in current account during the period under review. During the month of September 2009, CAD touched $174 million. Fresh break-up of balance of payments statistics, compiled by SBP revealed that in July-August, 2009-10 current account balance without off transfers stood at $451 million as against $4.333b in the equivalent three months of FY09. Accordingly, entire stock of foreign exchange reserve showed a sign of stability as only SBP gross reserves increased to $12 billion (excluding reserves of commercial banks) during July-September from $6.9 billion in July-September FY09. Total goods exports fell to $4.635 billion during July-September FY10 from $5.711 billion of the corresponding months of previous year, while imports sharply declined to $7.392b from $10.22b of FY09. Trade balance decreased to $2.757 billion in July-September as against $4.519 billion of last fiscal year. Balance of goods and services reached the level of $3.506 billion during the reviewed months as compared to $5.819 billion of FY09. Contrary to the preceding year, current transfers up to $3.712 billion during analytical months of ongoing financial year from $2.709 earlier. Capital account decreased to $8 million during July-September this year as against $26 million witnessed in the equivalent period of FY09. Financial account increased to $2.994 billion during reviewed period as against $1.371 billion of preceding year owing to bounce back in the inflows of long term loans which recorded at $1.286 billion as compared to $706 million over same months of FY09. The net inflow of foreign investment dropped to $671.1m during July-Sept against $943.4m during the same period of last financial year. Pakistan received a total of 463 million dollars worth foreign direct investment during first quarter of ongoing fiscal year from the inflow of $1.116b in the corresponding months of the last fiscal year. Surprisingly, portfolio investment at local bourses recorded at $208.1 million in July-September FY10 against $172.9 million in the said period of FY09.