Karachi, July 9, 2025: Workers’ remittances to Pakistan reached an all-time high of $38.3 billion in the fiscal year 2025, reflecting a 26.6% year-on-year increase from $30.3 billion in FY24, according to data released by the State Bank of Pakistan (SBP) on Wednesday.
In June 2025 alone, remittances stood at $3.4 billion, representing a 7.9% rise compared to the same month last year. The surge follows a historic monthly peak in March 2025, when inflows hit $4.1 billion—the highest single-month remittance figure in the country’s history.
According to Topline Securities, “Pakistan’s remittances came at $3.4 billion in June 2025, up 8% year-on-year. This brings the total for FY25 to $38.3 billion, marking the highest-ever annual remittances received by Pakistan.”
The sharp increase has been attributed to multiple contributing factors, including an ongoing economic recovery, exchange rate stability, and targeted incentives introduced by the government and central bank to encourage the use of formal channels.
“Remittances rising to a record $38.3 billion in FY25 — up 27% — is a positive sign for the economy,” said Mohammed Sohail, CEO of Topline Securities.
As per SBP data, the largest source of remittances in June 2025 was Saudi Arabia, with inflows of $823.2 million, followed by the United Arab Emirates ($717.2 million), the United Kingdom ($537.6 million), and the United States ($281.2 million).
Analysts noted that the IMF-supported economic reform program, improved digital and financial infrastructure, and enhanced banking access for overseas Pakistanis have also played a key role in the shift towards formal remittance channels.
Earlier this year, SBP Governor Jameel Ahmad had projected that annual remittances would approach $38 billion in FY25 — a forecast now fulfilled. The government has now set a remittance target of $39.4 billion for FY26.
In its fiscal outlook, the government also projects a current account deficit of $2.1 billion (0.5% of GDP) for FY26 — revised from an expected $1.5 billion surplus (0.4% of GDP) for FY25.
