Karachi: Pakistan experienced a significant upturn in remittance inflows during the first half of the fiscal year 2026, as overseas Pakistanis sent home a total of $19.7 billion. This marks an 11% increase compared to the same period last year, according to a recent report from JS Global.
In December 2025 alone, remittances reached $3.6 billion, reflecting a 17% year-on-year rise. This monthly influx highlights the growing reliance on remittances as a stabilizing force for Pakistan's external accounts amidst ongoing trade deficits.
The report noted a resurgence in remittances from the United Arab Emirates, which accounted for 20% of the total inflows in December 2025. This is a notable increase from a 17% share recorded in the first half of fiscal year 2024. Combined contributions from Saudi Arabia and the UAE made up 43% of the total remittances for the month, though Saudi Arabia saw a slight decrease in its remittance figures.
The steady increase in remittances underscores their critical role in cushioning Pakistan's economy against external financial pressures, providing a reliable buffer in challenging economic times.