September remittances rose 29% to US.85 billion year-on-year due to stabilization of the rupee – Trendy Blogger

September remittances rose 29% to US$2.85 billion year-on-year due to stabilization of the rupee – Trendy Blogger

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US $100 bills are shown in this illustration taken in Seoul on February 7, 2011. — Reuters
US $100 bills are shown in this illustration taken in Seoul on February 7, 2011. — Reuters
  • Pakistan receives highest ever quarterly remittances in Q1 FY2025.
  • Saudi Arabia leads in September remittances, with a total of $681.3 million.
  • Analysts say the rise is driven by exchange rate stability.

Remittances rose 29% year-on-year to $2.849 billion in September, compared to $2.208 billion in the same month last year, mostly dependent on a stable rupee and a rise in the number of workers working abroad, according to State Bank of Pakistan (SBP) data. showed on Wednesday.

On a monthly basis, flows decreased by 3%, from $2.943 billion in August 2024.

In the first quarter of fiscal year 2025, total remittances reached $8.8 billion, reflecting a 39% increase compared to $6.3 billion in the same period of the previous fiscal year.

Financial brokerage firm Arif Habib Limited (AHL) reported that Pakistan received its highest ever quarterly remittances in Q1 FY25.

“The rise was driven by stabilization of the rupee exchange rate, narrowing of the gap between open market and interbank market rates, and an increase in the number of workers moving abroad,” AHL noted.

September remittances rose 29% to US$2.85 billion year-on-year due to stabilization of the rupee

The breakdown shows that Pakistanis in Saudi Arabia sent the highest remittances in September 2024, totaling $681.3 million. While this represents a 4% decrease month over month, it represents a 27% increase from $538.3 million in the same month last year.

Flows from the UAE increased by 4% on a monthly basis, reaching $560.3 million, compared to $538.4 million in August. On an annual basis, remittances from the UAE increased by 40% compared to $399.8 million in September 2023.

Remittances from the UK amounted to $423.6 million, down 11% from $474.8 million in August. However, year-on-year inflows improved by 36%.

In the European Union, remittances fell by 3% month-on-month to $365.3 million in September.

Meanwhile, Pakistanis in the US sent $274.9 million, a decrease of 15% month-on-month.

These strong inflows will help Pakistan maintain rupee stability and contain the current account deficit, Muhammad Sohail, CEO of Topline Securities, a brokerage firm, said in an X post.

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