Pakistan Achieves Record $41.6 Billion in FY26 Remittances
16 hours ago
At a glance
- Pakistan received a record $41.6 billion in workers’ remittances during the last fiscal year (FY26), marking an increase of approximately 8.6 percent compared to FY25.
- Data released by the State Bank of Pakistan (SBP) on Thursday confirmed this milestone.
- Khurram Schehzad, Adviser to the Finance Minister, described the figure as Pakistan’s “highest-ever annual remittances in history.” He added that this historic…
Story so far: Pakistan received a record $41.6 billion in workers’ remittances during the last fiscal year (FY26), marking an increase of approximately 8.6 percent compared to FY25. Data released by the State Bank of Pakistan (SBP) on Thursday confirmed this milestone.
Latest development: Pakistan received a record USD 41.6 billion in workers’ remittances during fiscal year 2025-26 (FY26), marking the highest annual inflow in the country’s history. This milestone was driven by stronger inflows from overseas…
Pakistan received a record $41.6 billion in workers’ remittances during the last fiscal year (FY26), marking an increase of approximately 8.6 percent compared to FY25. Data released by the State Bank of Pakistan (SBP) on Thursday confirmed this milestone.
Khurram Schehzad, Adviser to the Finance Minister, described the figure as Pakistan’s “highest-ever annual remittances in history.” He added that this historic achievement reflects the confidence of overseas Pakistanis and strengthens Pakistan’s external sector resilience, foreign exchange buffers, and improving macroeconomic fundamentals. The adviser noted that the growth over the past three years has been “phenomenal,” driven by Pakistani workers globally.
The latest figures align with government expectations that total remittances would exceed the official target by the end of FY26 on June 30. The government had initially projected inflows of $41 billion before revising the target to $40 billion.
While FY26 saw record remittances, the 8.6 percent year-on-year rise was lower than the 26.6 percent growth recorded for FY25 and the 10.7 percent increase in FY24. Month-on-month, remittances declined by 18.35 percent, with June recording $3.47 billion in inflows from overseas Pakistanis, down from $4.25 billion in May, which had been the highest-ever monthly inflows.
Data for June showed Saudi Arabia ($829.6 million) and the United Arab Emirates ($792.3 million) as the largest sources of remittance inflows, followed by the United Kingdom ($514.9 million) and the United States ($296.8 million). Other countries contributing over $100 million included Italy ($121.1 million) and Oman ($110.8 million).
These record remittances were achieved despite market concerns that uncertainty in the Gulf region, stemming from the US-Iran war that began on February 28, could negatively impact Pakistan’s economy. A 2024 study by the Asian Development Bank (ADB) indicated that Pakistani migrants tend to remit more when economic conditions improve domestically and when there is a positive link between remittances and local economic activity. The SBP recently abolished two incentive schemes previously offered to banks for increasing remittances.
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Pakistan received a record USD 41.6 billion in workers’ remittances during fiscal year 2025-26 (FY26), marking the highest annual inflow in the country’s history. This milestone was driven by stronger inflows from overseas Pakistanis, supported by structural reforms and policy measures introduced by the government and the State Bank of Pakistan (SBP).
According to SBP data, remittances cumulatively rose by 8.6 percent during the last fiscal year, with overseas Pakistanis sending USD 41.6 billion in FY26 compared to USD 38.3 billion received during FY25. On a monthly basis, workers’ remittances stood at USD 3.5 billion in June 2026, a 2 percent increase year-on-year from June 2025, though it declined by 18.3 percent month-on-month from the record USD 4.25 billion received in May 2026.
Major corridors for remittances in June 2026 included Saudi Arabia (USD 829.6 million), United Arab Emirates (USD 792.2 million), United Kingdom (USD 514.9 million), and United States of America (USD 296.8 million). The rise in remittances is attributed to structural reforms, including stricter action against smuggling and illegal cross-border cash flows, stronger enforcement against the hundi and hawala system, and reforms in the exchange company sector.
Sources: Business Recorder
Pakistan received $3.5 billion in workers’ remittances during June 2026, according to data released by the State Bank of Pakistan (SBP) on Thursday. These inflows were 2 percent higher compared to June last year but saw an 18.3 percent decrease from the amount recorded in May 2026.
For the full fiscal year 2025-26, overseas Pakistanis sent home $41.6 billion in remittances, marking an 8.6 percent increase from the $38.3 billion received during the previous fiscal year. Saudi Arabia remained the largest source of remittances in June, contributing $829.6 million. It was followed by the United Arab Emirates with $792.2 million, the United Kingdom with $514.9 million, and the United States with $296.8 million.
Sources: Pakistan Observer
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