Connect with us

Hi, what are you looking for?

Online Business Success

Remittances rise 11.9% to $10.6 billion in July-October FY2022


A representative image.
A representative image.

KARACHI: Remittances from Pakistani workers employed abroad increased 11.9% to $10.6 billion in the first four months of the current fiscal year, according to the data released by the State Bank of Pakistan (SBP).

The country received $2.5 billion in remittances in October, a 10.2% rise year-on-year, but down 5.7% as compared with the previous month.

The July-October remittances’ data shows these flows remain buoyant since last year, providing much-needed support to the country, which has struggled with a higher current account deficit and a depreciating currency.

The SBP said that the workers’ remittances continued their strong streak. “In addition to remaining above $2 billion since June 2020, this is the eighth consecutive month when remittances have been close to or above $2.5 billion,” it said in a statement.

Remittance inflows during the first four months of FY2022 have mainly been sourced from Saudi Arabia ($2.7 billion), UAE ($2 billion), UK ($1.5 billion) and US ($1.1 billion), it added.

There are a number of factors that contributed to the surge, especially the increasing use of the official channels to send money by overseas Pakistanis due to security and convenience.

The altruistic transfers to Pakistan and the limited travel of expatriates to Pakistan due to the COVID-19 pandemic had also resulted in more funds’ transfers through legal channels and supported the rise in remittances.

However, the decline in month-on-month remittances is attributable to the resumption in international air travel amid an ease in lockdowns and a rise in vaccination. Many countries have ended the pandemic travel ban, opening doors to international visitors and tourists. So it looks like expatriates from the main sources of remittances, such as the those in Middle East, the United Kingdom, and the United States have restarted travelling.

Advertisement. Scroll to continue reading.

It is widely assumed that instead of sending cash through banks and exchange companies, they are visiting Pakistan to meet their families and relatives and bring money with them.

“Ease in travel restrictions and a rising gap between inter-bank and kerb dollar rate are the main reasons,” said Mohammed Sohail, CEO at Topline Securities, referring to the fall in remittances in October, compared with September.

Samiullah Tariq, the head of research at Pak-Kuwait Investment Company, said non-resident Pakistanis sent less money in October due to lack of any religious festival and resumption of flights.

“I don’t think the remittances will face decline. They will still grow on a year-on-year basis,” he said.

The remittances should be close to $31 billion in FY2022, Tariq predicted. Remittances rose to $29.4 billion in FY2021 from $23.13 billion, a year ago.

Originally published in

The News



Source link

Advertisement. Scroll to continue reading.
Click to comment

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Advertisement

Latest

Online Business Success

A representative image. KARACHI: Remittances from Pakistani workers employed abroad increased 11.9% to $10.6 billion in the first four months of the current fiscal...

Social Media

Each platform is increasingly focused on video content, and each has a billion users – but which is better for your ad spend right...

Loan And Finance

California Insurance Commissioner Ricardo Lara has announced several appointments to the California Automobile Assigned Risk Plan’s (CAARP) advisory committee. The California State Legislature created...

Technology

Pigment, a next-gen business forecasting platform that’s setting out to “reboot the spreadsheet,” has raised $73 million in a series B round of funding...

Social Media

Despite ongoing challenges from rival platforms, along with regulatory concerns, and even restrictions in some regions, TikTok continues to go from strength to strength....

Online Business Success

As one of the most anticipated holiday shopping seasons in recent memory approaches, businesses are gearing up to meet pent-up consumer demand. A Deloitte...

Social Media

Are you trying to figure out what you should post on social media? Want a list of content ideas to share with your fans...

Technology

The US Department of Education and Department of Homeland Security (DHS) were urged this week to more aggressively strengthen cybersecurity protections at K-12 schools...

Advertisement

You May Also Like

Blogging

In this post, I will discuss the top ten profitable blogging niches ideas for Adsense approval and high traffic. whether you use Blogger or...

SEO Guide

How to index website on Google? Do you want to drive more organic traffic to your new website? I am sure your answer is...

SEO Guide

Want to rank in Google image search? Images that you use as a featured images when writing a post actually appear on Google Images...

Online Business Success

Carrying Credit Card Debt Isn’t Just Bad for Your Budget. It May Also Affect Your Health. The stress of carrying card debt through adulthood...

Advertisement