Karachi: Pakistan's remittance inflows have continued their upward trajectory in October 2024, surpassing the US$3 billion mark with a substantial 24% year-on-year increase. This marks only the fourth instance in the nation's history where monthly remittances have exceeded this amount. During the first four months of FY25, overseas Pakistanis sent home a record US$11.8 billion, reflecting a 35% year-on-year growth.

According to JS Global, the remarkable growth in remittances is largely driven by strong inflows from the United Arab Emirates, which recorded a 31% year-on-year increase in October 2024. The UAE's contribution to Pakistan's remittances during the last two fiscal years hovered around 17.5%, but it has now risen to 20.3% in the outgoing month, with Dubai contributing a significant 80% of the UAE's total remittance figure.

Over the past eight months, remittances have consistently averaged US$3 billion per month, a notable increase from the US$2.3 billion monthly average observed during FY23 and much of FY24. This consistent inflow may provide Pakistani regulators with the flexibility needed to effectively manage repatriation outflows and support external financing needs.