The Pasban scheme will distribute Rs4 billion in cash prizes every quarter to eligible home-remittance beneficiaries using formal banking channels.
State Bank of Pakistan (SBP) Governor Jameel Ahmad has launched the Pasban Remittance Reward Scheme, an initiative offering Rs16 billion in annual cash prizes to customers receiving home remittances through formal banking channels.
The scheme has been introduced under the auspices of the Pakistan Banks Association (PBA), with the patronage of the SBP, and will be financed entirely by the banking industry rather than the national exchequer.
The initiative is aimed at encouraging overseas Pakistanis to continue sending remittances through formal banking channels.
The SBP maintains extensive programmes and policy measures aimed at facilitating home remittances and formal foreign-exchange channels.
Pasban scheme aims to boost formal remittances
Addressing the launch ceremony, Governor Jameel Ahmad said the SBP, government and PBA had worked together to develop a self-sustaining and market-oriented mechanism to further facilitate and attract workers’ remittances through formal channels.
He described workers’ remittances as a financial lifeline for millions of Pakistani families, helping them meet household expenses, education and healthcare costs, while also creating resources for investment and economic opportunities.
The new reward mechanism builds on the banking industry’s existing efforts to support the country’s external sector.
SBP highlights improvement in foreign exchange reserves
The SBP governor also highlighted the improvement in Pakistan’s external account position.
He said the country’s external current account deficit had reached unsustainable levels in FY22, resulting in a rapid depletion of foreign exchange reserves. Since then, the external position has improved, supporting an accumulation of foreign exchange buffers.
According to Jameel Ahmad, SBP foreign exchange reserves, which had fallen below $3 billion in February 2023, have now risen to $21.4 billion.
The SBP’s latest published data puts its foreign exchange reserves at about $21.4 billion, broadly consistent with the governor’s figure.
He said the strengthening of foreign exchange buffers had primarily been driven by purchases from the market rather than the accumulation of external debt.
Workers’ remittances reach record $41.6bn
Jameel Ahmad also praised overseas Pakistanis for their contribution, highlighting the performance of workers’ remittances, which reached a record $41.6 billion in FY26, compared with $21.7 billion in FY19.
He said the improvement in key external-sector indicators represented more than a statistical recovery, describing it as stability and resilience that could help Pakistan address recurring boom-and-bust cycles and move towards more sustainable economic growth.
Government and SBP introduce external-sector reforms
The governor said the government and SBP had introduced a range of policy and structural measures to strengthen the external sector.
These measures include tax incentives for exporters, targeted long-term financing and performance-based rebate schemes.
The SBP introduced a Performance Based Rebate on Incremental Exports from July 1, 2026, providing eligible exporters with rebates linked to growth in exports over the previous fiscal year.
The scope of the Roshan Digital Account (RDA) programme has also been expanded, while overseas outreach initiatives have been undertaken to promote formal financial channels.
The SBP has additionally facilitated IT companies and freelancers in opening foreign currency accounts and retaining export proceeds in those accounts.
Rs4bn in prizes to be distributed every quarter
PBA CEO and Secretary General Muneer Kamal said the Pasban scheme represented the latest in a series of coordinated measures by the SBP, government and banking industry to strengthen Pakistan’s external sector.
He said the scheme builds on remitter incentives funded by banks since July 2026, taking the industry’s annual commitment towards remittance support to nearly Rs100 billion.
Under the scheme, a remittance beneficiary receiving home remittances equivalent to at least $100 per month for three consecutive months within a quarter into a bank account will qualify for participation.
Each eligible $100 remittance transaction will provide one digital, non-transferable entry number. Beneficiaries receiving larger amounts will receive additional entries in proportion to the amount received.
For example, a beneficiary receiving $100, $200 and $300 in three consecutive months would receive one, two and three entries respectively, giving the beneficiary six entries for the quarter.
2,521 prizes worth Rs4bn every quarter
A total of 2,521 cash prizes worth Rs4 billion will be distributed every quarter.
The prize structure is:
Prize category Number of prizes Prize amount
First prize 1 Rs100 million
Second prize 20 Rs25 million each
Third prize 100 Rs10 million each
Fourth prize 2,400 Rs1 million each
The scheme will therefore distribute Rs16 billion annually among more than 10,000 winners.
To provide geographical diversity, prizes will be allocated according to remittance regions:
• GCC: 50 per cent
• UK: 15 per cent
• Europe: 15 per cent
• North America: 10 per cent
• Other countries: 10 per cent
The first prize will remain open to beneficiaries receiving remittances from all regions.
The draws will be conducted quarterly through a secure, digital and auditable process.
The first draw is scheduled for January 15, 2027, covering eligible remittances received between October 1 and December 31, 2026.
Participation in Pasban scheme is free
The SBP and PBA said participation in the Pasban scheme would be completely free of charge.
Eligible beneficiaries will not be required to pay a fee, purchase a ticket, maintain a minimum balance or provide any other consideration to participate.
PBA Chairman Zafar Masud said the banking industry had consistently supported the country’s external sector through measures including remitter incentives, lower export refinance rates and expanded lending to private, agricultural and SME sectors.
He said overseas Pakistanis were also an important part of the country’s economic story and that the Pasban scheme recognised their contribution through cooperation between the banking industry, SBP and government.