AGL 40.00 Decreased By ▼ -0.16 (-0.4%)
AIRLINK 129.53 Decreased By ▼ -2.20 (-1.67%)
BOP 6.68 Decreased By ▼ -0.01 (-0.15%)
CNERGY 4.63 Increased By ▲ 0.16 (3.58%)
DCL 8.94 Increased By ▲ 0.12 (1.36%)
DFML 41.69 Increased By ▲ 1.08 (2.66%)
DGKC 83.77 Decreased By ▼ -0.31 (-0.37%)
FCCL 32.77 Increased By ▲ 0.43 (1.33%)
FFBL 75.47 Increased By ▲ 6.86 (10%)
FFL 11.47 Increased By ▲ 0.12 (1.06%)
HUBC 110.55 Decreased By ▼ -1.21 (-1.08%)
HUMNL 14.56 Increased By ▲ 0.25 (1.75%)
KEL 5.39 Increased By ▲ 0.17 (3.26%)
KOSM 8.40 Decreased By ▼ -0.58 (-6.46%)
MLCF 39.79 Increased By ▲ 0.36 (0.91%)
NBP 60.29 No Change ▼ 0.00 (0%)
OGDC 199.66 Increased By ▲ 4.72 (2.42%)
PAEL 26.65 Decreased By ▼ -0.04 (-0.15%)
PIBTL 7.66 Increased By ▲ 0.18 (2.41%)
PPL 157.92 Increased By ▲ 2.15 (1.38%)
PRL 26.73 Increased By ▲ 0.05 (0.19%)
PTC 18.46 Increased By ▲ 0.16 (0.87%)
SEARL 82.44 Decreased By ▼ -0.58 (-0.7%)
TELE 8.31 Increased By ▲ 0.08 (0.97%)
TOMCL 34.51 Decreased By ▼ -0.04 (-0.12%)
TPLP 9.06 Increased By ▲ 0.25 (2.84%)
TREET 17.47 Increased By ▲ 0.77 (4.61%)
TRG 61.32 Decreased By ▼ -1.13 (-1.81%)
UNITY 27.43 Decreased By ▼ -0.01 (-0.04%)
WTL 1.38 Increased By ▲ 0.10 (7.81%)
BR100 10,407 Increased By 220 (2.16%)
BR30 31,713 Increased By 377.1 (1.2%)
KSE100 97,328 Increased By 1781.9 (1.86%)
KSE30 30,192 Increased By 614.4 (2.08%)
Markets

Pakistan’s remittance inflow at $3.05bn in October 2024, up 24% year-on-year

  • Amount also 7% higher when compared with $2.86 billion in September 2024
Published November 8, 2024

Inflow of overseas workers’ remittances into Pakistan stood at $3.052 billion in October 2024, a substantial 24% increase on a year-on-year (YoY) basis when compared with $2.463 billion in the same month of the previous year, showed data released on Friday by the State Bank of Pakistan (SBP).

On a month-on-month (MoM) basis, the inflow in October was 7% higher when compared to $2.86 billion in September 2024.

During 4MFY25, remittances went up by nearly 35% YoY to $11.8 billion as compared to $8.8 billion in 4MFY24.

Experts credit the increase in inflows to the stability of the exchange rate, a narrowing gap between open and inter-bank market rates, increase in digital payment channels and a rise in the number of workers relocating abroad, especially to GCC countries.

“These stronger inflows will help Pakistan maintain PKR stability and contain the current account deficit,” said Mohammed Sohail, CEO Topline Securities, in a note.

Home remittances play a significant role in supporting the country’s external account, stimulating Pakistan’s economic activity as well as supplementing the disposable incomes of remittance-dependent households.

Breakdown of remittances

Overseas Pakistanis in Saudi Arabia remitted the largest amount in October 2024 as they sent $766.7 million during the month. The amount was up by 12% on a monthly basis, and 24% higher than the $616.8 million sent by the expatriates in the same month of the previous year.

Inflows from the United Arab Emirates (UAE) improved by 10% on a monthly basis, from $562.7 million in September to $620.9 million in October. On a yearly basis, remittances jumped by 31%, as compared to $473.9 million reported in the same month last year.

Remittances from the United Kingdom amounted to $429.5 million during the month, inching up 1% compared to $424.1 million in September 2024. YoY inflows from UK improved by 30%

Meanwhile, remittances from the European Union decreased by 2% MoM as they amounted to $359.1 million in October 2024, as compared to $365.5 million in September.

Overseas Pakistanis in the US sent $299.3 million in October 2024, a MoM increase of 8%.

Last month, the SBP, to enhance the flow of home remittances, revamped the incentive structure for banks and Exchange Companies (ECs). Under the system, both banks and ECs will receive two types of incentives – Fixed Component Incentives and Variable Component Incentives.

Comments

200 characters
SAd Nov 08, 2024 11:44am
A.H Remarkable and Unprecedented. Haters will keep spreading propaganda, fake news and misleading information. Pakistan will keep shining. This is the start of the progress, the new golden era.
thumb_up Recommended (0) reply Reply
Farhan Nov 08, 2024 12:33pm
Definitely, due to high inflation, spendings are increasing day by day. Its not growth. We r sending more and more money to homes.
thumb_up Recommended (0) reply Reply
KU Nov 08, 2024 01:20pm
Other countries celebrate their exports n ensure employment/welfare of people, we rely on remittances. Is this part of economic recovery plan?
thumb_up Recommended (0) reply Reply
Make in Pakistan Nov 08, 2024 02:56pm
@Farhan, inflation is already adjusted in currency devaluation for remittances. For now, it's the local earners who either pay electricity bills or eat. They have really been crushed!
thumb_up Recommended (0) reply Reply
Az_Iz Nov 08, 2024 05:46pm
$3 billion a month is the new normal. Amazing. The country can stand on it's own feet and pay it's bills, without begging or seeking support from brotherly countries.Which makes everyone proud.
thumb_up Recommended (0) reply Reply
Az_Iz Nov 08, 2024 05:49pm
The expectation was,the government was going to be part of the problem,with hawala transfer.That is apparently not true.The government appears to be more honest,than what many thought.
thumb_up Recommended (0) reply Reply
Maple leaf Nov 08, 2024 06:23pm
Good going
thumb_up Recommended (0) reply Reply
MZI Nov 08, 2024 06:39pm
Good news continues to trickle in. Politics of disruption & chaos lies exposed for what it was. May the stability continue & may Pakistan's economy improve.
thumb_up Recommended (0) reply Reply
Abdullah Nov 09, 2024 12:03pm
@Az_Iz , trueee.govt is atleast sincere in these efforts.its paying off now.
thumb_up Recommended (0) reply Reply
Zubair Edhy Nov 10, 2024 10:06am
An average of USD 3 billions per month, USD 36 billion a year, and we are begging IMF for USD 1 billion tranche with USD 7 billion program over three years!
thumb_up Recommended (0) reply Reply