Workers’ remittances surge by 31pc in July – August

Workers’ remittances surge by 31pc in July – August

KARACHI: The inflow of workers’ remittances sharply increased by 31 percent during first two months of the current fiscal year owing to initiatives of the central bank.

The inflow of remittances surged to $4.86 billion during July – August 2020 as compared with $3.71 billion during the corresponding period of the last fiscal year, according to data released by State Bank of Pakistan (SBP) on Monday.

The inflows of remittances also increased by 25 percent to $2.1 billion in August 2020 as compared with $1.68 billion in the same month of the last year.

The SBP said that in August, workers’ remittances remained above $2 billion for the third month in a row.

Over the last three months, remittances reached an unprecedented level of $7.3 billion, 37.2 percent higher than the same period last year.

Efforts under the Pakistan Remittances Initiative (PRI) and the gradual re-opening of businesses in major host countries such as Middle East, Europe and United States contributed to this increase.

The top three originating countries for remittances in August were: Saudi Arabia ($0.593 billion), UAE ($0.410 billion) and UK ($0.302 billion).

On Month on Month (MoM) basis, remittances were 24.3 percent lower than the record level of remittances of $ 2.768 billion posted in July, mainly reflecting the usual seasonal decline in the post Eid-al-Adha period.