Overseas workers’ remittances to Pakistan reached a significant $3 billion in March 2024, according to data released by the State Bank of Pakistan (SBP). This represents a 31.3% increase from the $2.25 billion received in February and a 16.4% increase from March 2023. The influx of remittances is supporting the country’s economy with high disposable incomes and stimulating economic activity.
In the first nine months of the fiscal year 2024, remittances totalled $21 billion, marking a slight increase of 0.9% compared to the last year. This consistent inflow highlights the strong financial ties between overseas Pakistanis and their families back home. The remittances serve as a vital source of foreign exchange, supporting Pakistan’s external account.
Saudi Arabia remains the largest source of remittances, with overseas Pakistanis sending $703.1 million in March 2024. This represents a 30% increase from the previous month and a 24% year-on-year growth. Inflows from the United Arab Emirates (UAE) also surged, totalling $548 million in March and representing a 43% monthly increase.
The United Kingdom contributed $462 million in remittances during March, marking a 33% increase from the previous month. Meanwhile, the United States contributed $373 million, showing an 18% year-on-year increase and a 30% monthly increase. Remittances from the European Union also rose to $315 million, a 19% monthly increase and a 6% annual increase.
These remittances not only provide crucial financial support to Pakistan but also reflect the strong connections between overseas Pakistanis and their homeland. As remittances continue to grow, they will play an important role in strengthening Pakistan’s economic stability and development.
The high remittance has a positive impact on the real estate market, as increased disposable incomes drive demand for housing and commercial properties. The real estate sector benefits from this inflow of funds, which supports property development and investment opportunities, ultimately leading to the overall economic growth of Pakistan.