Overseas Workers send USD 38.3 Billion highest ever Remittance in FY 25

There is no doubt that Pakistani overseas workers have sent up to USD 38.3 billion in FY 25, as it is the highest ever remittance inflow for Pakistan. There is no doubt that Pakistan has been struggling to secure external financing from many countries, including KSA and the UAE, which used to provide Pakistan with external financing without any conditions in the past; however, those days are gone, and the world has moved forward. Now every loan Pakistan borrows from friendly countries has strings attached, and it has conditions as well. Therefore, now there are free lunches. 

However, in late 2023, Pakistan made hard reforms regarding forex change, which enabled more use of official banking channels, and overseas Pakistanis took the opportunity and sent more remittances via banking channels to Pakistan. This helped Pakistan to ease off external debt pressure, as Pakistan would be required to borrow at least USD 5 to 6 billion during fiscal year 2025, which was hard for Pakistan as there was no easy landing for Pakistan in this regard. Moreover, overseas workers recorded remittance inflows during the month of June 2025, which totaled USD 3.4 billion, and altogether it is USD 38.3 billion.

This has helped Pakistan offset the current account deficit in a large way, as it is expected that Pakistan is going to post a current account surplus for the last fiscal year, as Pakistan's trade balance was around USD 2.3 or 2.4 billion, and it is expected that Pakistan's export services number will also improve and try to offset import services figures.