October remittances jump 24% year-on-year to $3.05bn

Overseas workers’ remittances to Pakistan increased by 23.9% to $3.1 billion in October 2024 compared to the same month last year. This surge in remittances is attributed to a stable exchange rate, growth in digital payment channels, and more workers moving abroad. Saudi Arabia was the largest contributor, followed by the UAE, the UK, and the US. The State Bank of Pakistan revised its incentive structure to further boost remittances. Remittances have become crucial for Pakistan’s economy, helping to offset the trade deficit and support the balance of payments. The country has seen improvements in macroeconomic stability following a bailout from the IMF. Strong remittances and exports have helped to control the current account deficit and increase foreign exchange reserves.