March 10, 2023 (MLN): Workers' remittances for the month of February registered an increase to 4.9% MoM $2 billion, compared to $1.89bn in January 2023, data issued by SBP revealed today.
However, on yearly basis, the remittances have dropped by 9.5% YoY as compared to $2.19bn in February 2022.
Despite the decline in the yearly comparison, the increase in remittances for the month of February is a positive sign for the economy. The inflows mainly came from Saudi Arabia, the United Arab Emirates, the United Kingdom, and the United States of America, with Saudi Arabia being the largest contributor at $454.6 million.
It is worth noting that the cumulative inflow for the first eight months of FY23 has decreased by 10.8% compared to the same period last year, with a total inflow of $18bn.
However, the recent increase in remittances after five consecutive monthly declines is an encouraging sign for the economy.
The remittances sent by overseas workers play a crucial role in the economy of many countries, including Pakistan.
They not only contribute to the country's foreign exchange reserves but also support the livelihoods of millions of households across the country.