Remittances surge to all-time high of $11 billion

Figure remains above $1 billion for fourth month in a row.


Express July 09, 2011

KARACHI:


The State Bank of Pakistan (SBP) has announced that remittances sent home by overseas Pakistani workers crossed the $11 billion mark for the first time in the country’s history during the last fiscal year (2010-11).


Expatriate workers remitted a record amount of $11.20 billion during the year, an impressive growth of 26 per cent or $2.29 billion, compared with $8.90 billion received in the previous fiscal year, SBP said. The target for remittances in the Annual Plan for FY11 was around $9 billion. Giving one of the reasons for the sharp increase in remittances, the central bank said a joint move called Pakistan Remittance Initiative by SBP, the Ministry of Finance and the Ministry of Overseas Pakistanis had facilitated the flow of remittances into the country through formal channels.

An analyst said the narrowing of the difference between currency exchange rates of inter-bank and open markets and political instability in the Middle East over the last six months also contributed to the increase in remittances.

In June alone, remittances stood at $1.10 billion, the highest-ever amount sent home in a single month and the fourth month in a row when remittances crossed $1 billion. The figure was 31 per cent or $263.12 million higher from $841.44 million received in the same month in 2009-10.

The inflow of remittances in July-June 2010-11 from Saudi Arabia, UAE, USA, GCC countries (including Bahrain, Kuwait, Qatar and Oman), UK and EU countries amounted to $2.67 billion, $2.60 billion, $2.07 billion, $1.31 billion, $1.20 billion and $354.76 million respectively. Remittances from Norway, Switzerland, Australia, Canada, Japan and other countries amounted to $1 billion against $811.04 million received in the preceding year.

Monthly average of remittances for the year came to $933.41 million compared with $742.16 million in the previous year, showing an increase of 26 per cent.



Published in The Express Tribune, July 10th, 2011.

COMMENTS (12)

Humayun Habib | 12 years ago | Reply

Miles to go before we can sleep !! with mounting international borrowing, ever increasing US black mailing / delaying tactics to reimburse military expenditure, delay in interational materilization of international aid pledges and drying FDI, we will need more of such healthy remittances, growth in export (including services).

Expats, keep it coming.

Tauqeer | 12 years ago | Reply

@Nadeem Ahmed: Wish this money be spend on the Development and Real Growth of the Country

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