Karachi, July 9, 2025 – Pakistan’s economy received a significant boost as workers’ remittances reached an all-time high of $38.3 billion in fiscal year 2025, marking a 26.6% increase from $30.3 billion in FY24, according to the State Bank of Pakistan (SBP).
In June 2025, remittances totaled $3.4 billion, up 7.9% from the same month last year, with a peak inflow of $4.1 billion recorded in March, the highest single-month figure in Pakistan’s history. Saudi Arabia led contributions with $823.2 million, followed by the UAE ($717.2 million), the UK ($537.6 million), and the US ($281.2 million). Analysts attribute this surge to economic recovery, a stable exchange rate, and government incentives promoting formal banking channels. “This is the highest-ever annual remittance inflow, reflecting the diaspora’s confidence in Pakistan’s economy,” said Mohammed Sohail, CEO of Topline Securities.
The growth is supported by an IMF loan program, improved financial infrastructure, and policies encouraging legal transfers. SBP Governor Jameel Ahmad’s earlier projection of $38 billion for FY25 was met, with the government now targeting $39.4 billion for FY26. Despite this, a revised forecast projects a $2.1 billion current account deficit for FY26, compared to an anticipated $1.5 billion surplus for FY25.
