Karachi, May 9, 2025 – Pakistan experienced a significant 21% month-on-month (MoM) drop in workers’ remittances in April 2025, according to fresh data released by the State Bank of Pakistan (SBP) on Friday.
The total remittance inflows stood at $3.18 billion in April, down from $4.05 billion received in March 2025.
The sharp MoM decline has largely been attributed to seasonal factors, with market experts pointing to the surge in remittance inflows witnessed in March due to Ramadan and Eid-related transfers. These festivals typically prompt overseas Pakistanis to send higher amounts back home for family support and charitable giving, temporarily boosting monthly figures.
Despite the MoM dip, remittances showed healthy growth on a year-on-year (YoY) basis. Compared to April 2024’s inflow of $2.82 billion, remittances in April 2025 were up by 13%. This increase reflects a broader upward trend in overseas inflows driven by economic recovery in host countries and improved banking channels for formal transfers.
From July 2024 to April 2025, cumulative remittances reached $31.2 billion, marking an impressive 30.9% growth over the $23.9 billion recorded during the same period of the previous fiscal year. This surge underscores the critical role of remittances in supporting Pakistan’s external account and economic stability.
According to the SBP data, the bulk of April 2025’s remittance inflows came from the traditional corridors. Saudi Arabia led the chart with $725.4 million, followed by the United Arab Emirates at $657.6 million. The United Kingdom and the United States contributed $535.3 million and $302.4 million, respectively.
Remittances continue to serve as a vital lifeline for Pakistan’s economy, providing essential foreign exchange and helping to bridge the gap in the country’s current account. As the government seeks to stabilize the balance of payments and strengthen foreign reserves, sustaining and expanding remittance inflows remains a top priority.
The SBP and financial authorities are expected to maintain focus on formal remittance channels and digital transfer mechanisms to ensure that remittances remain robust in the months ahead, especially as global economic conditions evolve.