Karachi, April 14, 2025 – Governor of the State Bank of Pakistan (SBP), Jameel Ahmad, announced on Monday that the country received a historic $4.1 billion in workers’ remittances during March 2025, the highest monthly inflow ever recorded.
Addressing a gathering at the Pakistan Stock Exchange (PSX) to launch Financial Literacy Week, Ahmad highlighted the robust growth in remittances, which has prompted the SBP to revise its full-year forecast. The central bank now expects total remittances to reach $38 billion for the fiscal year 2024-25 (FY25), up from the earlier estimate of $36 billion.
This significant increase in remittances is seen as a major contributor to the country’s improving external position. Ahmad expressed confidence that the current account would remain in surplus for the remainder of the fiscal year, citing the surge in remittances as a key factor. “This will result in a substantial surplus and represents the best external account performance in the last 20 years,” he stated.
The SBP chief also revised upward the projection for the country’s foreign exchange reserves, now expected to hit $14 billion by the end of June 2025. This is an increase from the previous estimate of $13 billion, despite a recent dip to $10.6 billion due to scheduled debt repayments. He noted that Pakistan is expected to receive an additional $4 to $5 billion from external sources, including international financial institutions, before the fiscal year ends.
Ahmad also pointed to a revival in economic activity, with monthly imports rising to $5.7 billion. “For those who believe there are import restrictions or that economic activity is stagnant, the data clearly tells another story,” he remarked.
He projected a 3% GDP growth for FY25, which could have reached 4.2% had the agricultural sector maintained its previous year’s impressive growth of 8%. On inflation, Ahmad cautioned that the record-low rate of 0.7% recorded in March is likely to rise in the coming months.
With remittances playing a pivotal role in stabilizing the economy, their continued strength will be essential for maintaining external stability and supporting future growth.