Karachi: Pakistan received a higher flow of remittances worth USD 2.03 billion from overseas Pakistanis during July, which was the first month of the current fiscal year 2019-20, a news source reported. The increased flow was in line with market expectations.
The country received USD 1.98 billion during the same month for the previous fiscal year, which indicates a 3% increase in the current remittance inflow. Both times, July was followed by Eid-ul-Azha holidays.
An official of one state-owned bank reported that Pakistan received comparatively better remittances ahead of Eid-ul-Azha. He added that there was a trend of better remittance inflow before any festivals in the country.
The official also stated that another reason for the increased remittances was due to a higher number of Pakistanis finding jobs in the US, UK, UAE, Saudi Arabia, and European countries. He added that the incumbent government is taking measures in order to help people moving abroad find jobs.
A crackdown on illegal money transfers had also encouraged more overseas Pakistanis to send remittances through legal channels, such as banks, this fiscal year, the official said.
One central bank report reveals that remittances remain one of the leading sources of foreign income for Pakistan. The government utilises this money to partially pay off foreign debt as well as finance the deficit in import payments.
