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Tag: foreign remittances

  • Remittances increase to $13.3 bn in seven months

    Remittances increase to $13.3 bn in seven months

    KARACHI: The overseas Pakistani workers have sent $13.3 billion as remittances during first seven months (July – January) of 2019/2020, showing 4.1 percent growth when compared with same period of the last fiscal year.

    The overseas Pakistani had sent $12.774 billion in the first seven months of the last fiscal year, State Bank of Pakistan (SBP) said on Wednesday.

    The remittances during January 2020 were $ 1,907.3 million, shows an increase of $163.2 million or 9.3 percent growth over remittance received during corresponding month of 2019 $1,744.1 million.

    During January 2020, larger amounts of Workers’ Remittances received from Saudi Arabia, UAE, USA and UK with US $ 433.4 million, US $ 395.5 million, US $ 335.1 million and US $ 299.1 million recorded a decline of 8.4 percent, 7.5 percent, 6.3 percent and 7.9 percent respectively as compared to December 2019.

  • Overseas Pakistanis send $11.4 billion during first half

    Overseas Pakistanis send $11.4 billion during first half

    KARACHI: Overseas Pakistanis have sent $11.4 billion during first half (July – December) 2019/2020, which is 3.31 percent higher than remittances received in the same period of the last fiscal year, State Bank of Pakistan (SBP) said on Saturday.

    The central bank said that overseas Pakistani workers remitted $11.4 billion in the first half (July to December) of FY20, showing a growth of 3.31 percent compared with $11.03 billion received during the same period in the preceding year.

    During December 2019, the inflow of workers’ remittances amounted to $ 2097.23 million, which is 15.25 percent higher than November 2019 and 20 percent higher than December 2018.

    The country wise details for the month of December 2019 show that inflows from Saudi Arabia, UAE, USA, UK, GCC countries (including Bahrain, Kuwait, Qatar and Oman) and EU countries amounted to $ 472.94 million, $ 427.56 million, $ 357.45 million, $ 324.57 million, $ 205.73 million and $ 56.42 million respectively compared with the inflow of $ 414.59 million, $ 351.19 million, $ 276.29 million, $ 267.79 million, $ 174.42 million and $ 47.48 million respectively in December 2018.

    Remittances received from Malaysia, Norway, Switzerland, Australia, Canada, Japan and other countries during December 2019 amounted to $ 252.56 million together as against $ 216.35 million received in December 2018.

  • Overseas Pakistanis send $9.298 billion in five months

    Overseas Pakistanis send $9.298 billion in five months

    The State Bank of Pakistan (SBP) reported on Tuesday that overseas Pakistani sent $9.298 billion during the first five months of the current fiscal year, spanning from July to November. This figure compares closely with the $9.282 billion received during the same period in the preceding year.

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  • SBP announces incentives for banks to make remittance transactions attractive

    SBP announces incentives for banks to make remittance transactions attractive

    KARACHI: State Bank of Pakistan (SBP) on Friday made attractive the inflow of home remittances through formal channels and announced incentives for banks.

    According to the central bank each $100 and above remitted through banking channels would get disbursement of Saudi Riyal 10/.

    Please refer to EPD Circular Letter No. 08 dated May 24, 2016.

    The SBP said that the amount of home remittance transaction equal to and above USD 100/- but less than USD 200/- (or equivalent in other currencies) shall be reimbursed at SAR 10/-.

    The amount of Home Remittance transaction equal to and above USD 200/- (or equivalent in other currencies) shall continue to be reimbursed at SAR 20/-.

    Earlier in May 2016, the following circular was issued by the SBP:

    In order to further streamline the process of Reimbursement of TT Charges Scheme, the banks shall comply with the following instructions with immediate effect:

    Submission of Claims

    Banks shall submit their claims of the preceding month for Reimbursement of TT Charges against Home Remittances on the proforma (Annexure-A) in soft form (MS Office Excel) on Compact Disk (CD) along with covering letter to SBP Banking Services Corporation (SBP-BSC), Karachi Office by 20th day of the next month.

    Eligible Transactions

    Home Remittance transactions shall be eligible for Reimbursement of TT Charges subject to the following conditions:

    The bank and the correspondent entity have not charged their customers any fee or other charges at any stage for sending or receiving the Home Remittances.

    The amount of Home Remittance transaction is not below USD 200/- or equivalent in other currencies.

    Only one transaction shall be eligible for the Reimbursement of TT Charges irrespective of the number of transactions sent from the same remitter to same beneficiary on the same day.

    The transaction contains accurate identity of both remitter and beneficiary.

    Reimbursement Rate

    The Reimbursement rate per eligible Home Remittance transaction is Saudi Riyal 20/-.

    Certification of Claims

    All claims submitted to SBP-BSC, Karachi Office under Reimbursement of TT Charges Scheme shall be audited by the bank’s Internal Audit Department to verify that the claims are in conformity with the instructions issued by SBP and SBP-BSC on the subject from time to time.

    Further, a certificate to this effect by the bank’s Head, Internal Audit Department shall be submitted certifying as follows:

    The bank and the overseas correspondent entity have not charged its customers any fee or other charges at any stage for Home Remittances.

    The claims contain accurate identities of both remitter and beneficiary.

    No claim/ transaction below the prescribed limit of USD 200/- or equivalent in other currencies has been included in the claim form.

    No transaction has been splitted to avail undue benefit under the scheme.

    In case a claim is found to contain transactions below USD 200/- or equivalent in other currencies or split transactions detected at any stage, SBP / SBP-BSC shall have the right to recover such amount from our current account maintained with them.

    Reimbursement claim being submitted has been duly audited by our Internal Audit Department.

    In another circular issued on Friday, the SBP also announced incentives for banks to encourage remittances through formal banking channel.

    The SBP encouraged banks to market the home remittances and the central bank would grant Re1 for each dollar remitted in case the remittance grew by 15 percent per annum.

    The government relaunched the performance based scheme effective from January 01, 2020.

  • SBP enhances limit to $5,000 for pension transactions under home remittance services

    SBP enhances limit to $5,000 for pension transactions under home remittance services

    KARACHI: State Bank of Pakistan (SBP) on Monday enhanced the limit of pension transactions up to $5,000 per month under home remittance services.

    According to a circular issued by the SBP the transactions limits by individuals under various categories had been enhanced to $5,000 per month from $1,500 per month.

    The limits have been enhanced to facilitate overseas Pakistanis.

    The central bank on October 22, 2018 allowed banks and exchange companies to effect Business to Customer (B2C) and Customer to Business (C2B) transactions through foreign correspondent entities under their existing/new home remittance agency arrangements subject to inclusion of respective ceilings along with terms and conditions.

    The limits defined under circular issued on October 11, 2019 were $1,500 for: freelance of computer and information system services; other freelance services; and pension transactions.

    In the latest circular, the SBP said that ll other instructions on the subject shall remain unchanged.

    The SBP said that before finalization, exchange companies are required to forward draft of all addendum/new agency agreements.

    The SBP will provide its input, if any, on the draft addendum/new agreement but the ultimate responsibility to adequately safeguard their interest would remain on the exchange companies.

    Furthermore, the AD’s failure to comply with the above mentioned instructions may attract regulatory penalty under Section 23K of the Foreign Exchange Regulation Act, 1947.

  • Overseas Pakistanis remit $5.478 billion in July – September

    Overseas Pakistanis remit $5.478 billion in July – September

    KARACHI: The overseas workers have sent $5.478 billion during first quarter (July – September) of current fiscal year, which is 1.43 percent down when compared with $5.557 billion in the corresponding period of the last fiscal year, according to data released by State Bank of Pakistan (SBP) on Thursday.

    However, inflows of workers’ remittances witnessed 17.59 percent growth to $1.747 billion in the month of September 2019 when compared with $1.486 billion in the same month of the last year.

    Saudi Arab was the major destination from where Pakistanis sent remittances to homeland. The inflows of remittances from Saudi Arabia were $1.269 billion during first quarter of current fiscal year as compared with $1.263 billion in the same quarter of the last fiscal year, showing growth of 0.49 percent.

    The country received $911 million as workers’ remittances from the US during first quarter of the current fiscal year as compared with $862.76 million in the corresponding quarter of the last fiscal year, showing 5.67 percent growth.

    The third major destination for workers’ remittances was the UK from where the country received $814.37 million during July –September 2019 as compared with $810 million in the same period of the last fiscal year.

    The combined inflows from United Arab Emirates (UAE) were $1.139 billion during first quarter of current fiscal year as compared with $1.227 billion in the same quarter of the last fiscal year, registering 7.19 percent decline.

    The inflows from other GCC countries were at $519.43 million during July – September 2019 as compared with $526.96 million in the same period of the last fiscal year, showing 1.43 percent decline.

  • Remittances decline by 8.37pc to $3.73 billion in July – August

    Remittances decline by 8.37pc to $3.73 billion in July – August

    KARACHI: The inflows of workers’ remittances have declined by 8.37 percent to $3.73 billion during first two months (July – August) 2019/2020 as compared with $4.071 billion in the same months of the last fiscal year, State Bank of Pakistan (SBP) said on Friday.

    The central bank said that overseas Pakistani workers remitted US$ 1,690.9 million in the August 2019 as compared with US$ 2039.3 million received during July 2019. This showed a decline of US$ of 348.4 million on month-on-month basis, reflecting the usual one-off post Eid-ul-Azha effect.

    The country wise details for the month of August 2019 show that inflows from Saudi Arabia, UAE, USA, UK, GCC countries (including Bahrain, Kuwait, Qatar and Oman) and EU countries amounted to US$ 377.58 million, US$ 348.51 million, US$ 297.41 million, US$ 250.20 million, US$ 158.60 million and US$ 58.14 million respectively compared with the inflow of US$ 465.53 million, US$ 473.11 million, US$ 330.40 million, US$ 294.90 million, US$ 193.17 million and US$ 59.69 million respectively in August 2018.

    Remittances received from Malaysia Norway, Switzerland, Australia, Canada, Japan and other countries during August 2019 amounted to US$ 200.42 million together as against US$ 272.62 million received in August 2018.

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    Foreign remittances grow by 9.68pc to $21.84bn in 2018/2019

  • Unexplained foreign remittances will be subject to tax: FBR

    Unexplained foreign remittances will be subject to tax: FBR

    ISLAMABAD: Federal Board of Revenue (FBR) on Tuesday said that unexplained foreign remittances will be subject to income tax.

    (more…)
  • Foreign remittances grow by 9.68pc to $21.84bn in 2018/2019

    Foreign remittances grow by 9.68pc to $21.84bn in 2018/2019

    Foreign remittances to Pakistan have surged by an impressive 9.68% during the fiscal year 2018/2019, reaching an unprecedented high of $21.84 billion.

    (more…)
  • Remittances grow to $20.19 billion in 11 months

    Remittances grow to $20.19 billion in 11 months

    KARACHI: Overseas Pakistanis workers have sent $20.19 billion during July – May 2018/2019 as compared $18.28 billion in the same period of the last fiscal year, showing growth of 10.42 percent, State Bank of Pakistan (SBP) on Friday.

    The central bank said that during May 2019, the inflow of worker’s remittances amounted to $2315.74 million, which is 30.17 percent higher than April 2019 and 28.36 percent higher than May 2018.

    The country wise details for the month of May 2019 show that inflows from Saudi Arabia, UAE, USA, UK, GCC countries (including Bahrain, Kuwait, Qatar and Oman) and EU countries amounted to US $493.73 million, $476.57 million, $346.81 million, $387.09 million, $237.76 million and $70.61 million, respectively compared with the inflow of $432.05 million, $373.85 million, $290.26 million, $269.11 million, $178.96 million and $60.34 million respectively in May 2018.

    Remittances received from Malaysia, Norway, Switzerland, Australia, Canada, Japan and other countries during May 2019 amounted to $303.17 million together as against $199.51 million received in May 2018.