For the past 16 months inflows remain above $2b
Pakistani workers abroad have cumulatively sent $2.7 billion during September this year. Workers’ remittances have remained above $2 billion since June last year.
This is the seventh consecutive month when inflows recorded $2.7 billion on average.
In terms of growth, remittances increased by 16.9% (year-on-year) in September, while on a month-on-month basis, inflows increased by 0.5%.
At $8 billion, remittances grew by 12.5% during the first quarter of this year against figures for the same period last year.
Remittance inflows during September this year mostly originated in Saudi Arabia from where Pakistanis sent $691 million, $502 million from the United Arab Emirates, $370 million from the United Kingdom and $245 million from the United States.
Various government policy measures and incentives offered by the State Bank of Pakistan for using formal channels, decline in crossborder travel because of Covid-19, altruistic transfers to Pakistan amid the pandemic, and orderly foreign exchange market conditions have all contributed towards the sustained improvement in remittance inflows since last year.
Pakistan received over $5.36 billion in the first two months of the current fiscal year (2021-22) posting a growth of 10.4% against the same period last year, SBP data showed. Inflows were over $4.85 in the first two months of the previous fiscal year.
In August this year, remittances grew by 26.8% year-on-year which amounted to the highest growth rate for August during the past 10 years.
On September 11, the SBP stated: “This is the sixth consecutive month when inflows recorded at more than $2.65 billion and 15th consecutive month when they have been above $2 billion.”
According to the central bank, there is no restriction on the receipt of remittances from abroad either in foreign currency or by debit to non-resident rupee accounts of overseas branches of banks or correspondents.