Pakistan’s remittances grew by 9.3 percent during the first four months of the fiscal year, the Ministry of Finance reported. The total inflow reached $11.85 billion from July to October, providing vital support to the country’s foreign reserves.
During the same period, exports increased by 2 percent to $10.6 billion, while imports rose 9.6 percent to $20.7 billion. The current account deficit exceeded $730 million, highlighting the ongoing challenges in balancing trade.
Direct foreign investment fell by 26 percent to $747.7 million. The US Dollar strengthened against the Pakistani Rupee, which closed at Rs280.60 on November 27, up Rs2.60 compared with the same period last year.
The Ministry of Finance noted that tax revenue rose 11.4 percent to Rs3,834 billion. However, non-tax revenue slightly declined by 0.4 percent to Rs3,008 billion. The budget recorded a deficit of Rs2,119 billion, while the primary balance exceeded Rs3,497 billion.
Agricultural lending showed a significant rise of 18.6 percent, totaling Rs845 billion in loans. Conversely, credit supply to the private sector declined, indicating cautious lending by financial institutions.
Large-scale manufacturing output also improved, showing a 4.08 percent increase from July to September. Analysts said that rising remittances have helped stabilize foreign exchange flows and support economic growth amid trade deficits.
The government continues to monitor fiscal indicators and implement policies to encourage inflows from remittances and exports. These funds remain crucial for strengthening Pakistan’s balance of payments and supporting household incomes nationwide.
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Experts emphasize that maintaining a steady increase in remittances will be key to sustaining foreign reserves and mitigating currency volatility in the months ahead.
