Pakistan’s Remittances remain over $2bn for Fifth consecutive month

The workers’ remittances remained above $2 billion for the fifth consecutive month in October 2020, announced the State Bank of Pakistan (SBP) on Thursday.

As per the central bank, workers’ remittances amounted to $ 2.3 billion during October 2020, increasing by 14.1 percent compared to October 2019. During Jul-Oct FY21, workers’ remittances increased to $9.4 billion, recording a growth of 26.5 percent over the same period last year.

The SBP informed that a large part of Year on Year increase in October 2020 was sourced from Saudi Arabia (30 percent), United States (16 percent) and United Kingdom (14.6 percent).

It further said that improvements in Pakistan’s FX market structure and its dynamics, efforts under the Pakistan Remittances Initiative (PRI) to formalize the flows and limited cross-border traveling contributed to the growth in remittances.

Despite the COVID-19 pandemic, the workers' remittances have managed to post strong growth, back in September home remittances sent by overseas Pakistan increased by 31.2 percent or $544 million to $2.283 billion in September 2020 compared to $1.74 billion received in the same month of the last fiscal year.

Since June the country is receiving over $2 billion home remittances monthly. In June, remittances amounted to $2.47 billion were arrived, while the country received highest-ever workers' remittances $2.76 billion in July and $2.09 billion in August.