Pakistan received $3.59 billion in remittances from overseas workers in December 2025, marking a 16.5% increase compared to the same month last year, according to data released by the State Bank of Pakistan (SBP) on Friday.
Monthly inflows also rose 13% from November’s $3.2 billion, reflecting steady momentum in remittance growth. During the first half of the fiscal year 2025-26 (1HFY26), Pakistan’s total remittances reached $19.7 billion, up 11% from $17.8 billion in the corresponding period of the previous fiscal year.
Analysts attribute this growth to higher manpower exports in previous years, narrower differences between formal and informal exchange rates, and the continuation of government incentives for remittance transfers.
The SBP and government have long emphasized the importance of remittances in sustaining economic stability. These inflows support the country’s external account, boost economic activity, and supplement the disposable income of households reliant on overseas earnings.
Since 2009, the Pakistan Remittance Initiative (PRI) has worked to strengthen the formal remittance channel, increasing the number of participating financial institutions from 25 to over 50, including conventional and Islamic banks, microfinance banks, and exchange companies. The number of international entities facilitating remittances has also grown from 45 to more than 400.
Country-wise Remittance Breakdown
| Country/Region | Remittances (Dec 2025, $ million) | Year-on-Year Change | Month-on-Month Change |
|---|---|---|---|
| Saudi Arabia | 813 | +6% | +8% |
| United Arab Emirates (UAE) | 726 | +15% | — |
| United Kingdom (UK) | 560 | +28% | +16% |
| United States (US) | 302 | -1% | +9% |
| European Union (EU) | 499 | +39% | — |
The government has set an ambitious target of $41 billion in remittances for FY26, up from $38 billion in FY25, underlining the continued significance of overseas remittances in the national economy.
