The recent measures by the government to enhance remittances inflows seem to start working, as the foreign exchange remitted in October by overseas Pakistanis show a record 37.7 per cent growth when compared to the remittances sent in September 2018.
According to the State Bank of Pakistan (SBP), overseas Pakistanis sent an amount of $2 billion to various cities of Pakistan through the banking channels in the month of October.
This is the second time this year the inflows surpassed the level of $2 billion in a single month throughout the history of the country. Previously, remittances grew to record $2.03 billion in August mainly due to the sacrificial occasion of Eid-ul-Azha and its related festivities that attracted money from Pakistanis living in different foreign countries.
This time, the growth of the remittances inflows reflected apparently due to the recent steps by the government to have introduced incentives to overseas Pakistanis for sending remittances including facilitation for them at different banks and money transfer services. Banks and money transfer services were also granted target-based incentives.
The government sets a target to enhance remittances inflows at $22 billion or more from $20 billion of the annual inflows.
The remittances inflows received from different countries stand at $494.53 million from Saudi Arabia, $412 million from UAE, $308.78 million from USA, $298.80 million from UK, $198.30 million from GCC countries (including Bahrain, Kuwait, Qatar, and Oman) $57.36 million from EU countries.
During October 2018, the inflow of worker’s remittances amounted to $2000.47 million, which is 37.7 per cent higher than September 2018 and 20.9 per cent higher than October 2017.
Overall, overseas Pakistani workers remitted $7.419 billion in the first four months (July to October) of FY19, compared with $6.444 billion received during the same period in the preceding year.