The State Bank of Pakistan (SBP) released data on Monday showing that the inflow of overseas workers’ remittances into Pakistan stood at $3 billion in January 2025, 3.2% down than $3.1 billion in December 2024.
Remittances increased by 25.2% year over year, to $2.4 billion, compared to the same month last year.
During Jul-Jan FY25, workers’ remittances recorded an inflow of $20.8 billion, compared to $15.8 billion during Jul-Jan FY24, depicting a growth of 31.7%.
Home remittances play a significant role in supporting the country’s external account, stimulating Pakistan’s economic activity as well as supplementing the disposable incomes of remittance-dependent households.
Breakdown of remittances
Overseas Pakistanis in Saudi Arabia remitted the largest amount in January 2025 as they sent $728.3 million during the month. The amount was down 5.5% on a monthly basis, but 24% higher than the $587.4 million sent by the expatriates in the same month of the previous year.
Inflows from the United Arab Emirates (UAE) marginally increased by 0.37% on a monthly basis, from $619.4 million in December to $621.7 million in January. On a yearly basis, remittances jumped nearly 53%, as compared to $407.6 million reported in the same month last year.
Remittances from the United Kingdom amounted to $443.6 million during the month, down by 3% compared to $456.9 million in December 2024. YoY inflows from UK improved by 22%.
Overseas Pakistanis in the US sent $298.5 million in January 2025, a MoM increase of 5%.
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