Overseas Pakistanis sent the highest-ever $8 billion in remittances during the first quarter of the current fiscal year, up 12.5% from the same period last year.
The State Bank of Pakistan (SBP) reported on Friday that with inflows of $2.7 billion in September, worker remittances maintained their strong momentum and have remained above $2 billion since June 2020.
“This is the seventh month in a row that inflows have averaged approximately $2.7 billion,” the SBP stated. Remittances grew by 17 percent in September compared to the same month last year, and were 0.5 percent higher than August inflows.
In 1QFY22, rising imports expanded the trade deficit, placing enormous pressure on the rupee-dollar exchange rates, resulting in a bigger current account deficit.
The situation for economic managers is not pleasant, unless increased remittances have boosted the economy beyond all expectations.