September remittances surge 29% to $2.85bn YoY banking on rupee stability
1. On a month-on-month basis, inflows were down 3%, from $2.943 billion in August 2024
Remittances increased by 29% year-on-year (YoY) to $2.849 billion in September, up from $2.208 billion in the same month last year, primarily due to the stability of the rupee and a growing number of overseas workers, according to data from the State Bank of Pakistan (SBP) released on Wednesday.
On a month-on-month basis, inflows decreased by 3%, down from $2.943 billion in August 2024.
For the first quarter of FY25, total remittances reached $8.8 billion, reflecting a 39% rise compared to $6.3 billion during the same period last fiscal year. Brokerage firm Arif Habib Ltd (AHL) reported that Pakistan achieved its highest-ever quarterly remittances in 1QFY25.
AHL attributed the surge to the stable exchange rate of the rupee, a reduced gap between open and interbank market rates, and an increase in the number of workers moving abroad.
In September, remittances from Pakistanis in Saudi Arabia amounted to $681.3 million, making it the highest contributor for the month. While this represents a 4% decline from the previous month, it marks a 27% increase compared to $538.3 million in September of last year.
Inflows from the United Arab Emirates (UAE) saw a 4% month-on-month rise, reaching $560.3 million, up from $538.4 million in August. Year-on-year, remittances from the UAE surged by 40% compared to $399.8 million in September 2023.
Remittances from the United Kingdom totaled $423.6 million, an 11% decline from August’s $474.8 million, but improved by 36% year-on-year.
In the European Union, remittances decreased by 3% month-on-month to $365.3 million in September.
Meanwhile, remittances from Pakistanis in the United States amounted to $274.9 million, reflecting a 15% drop compared to the previous month.
