Pakistan’s foreign remittances surged to a record $3.6 billion in December 2025, providing a major boost to the national economy and pushing total inflows in the first half of fiscal year 2025-26 to $19.7 billion. The increase marked a strong upward trend in overseas inflows at a time when exports remained under pressure.
Prime Minister Shehbaz Sharif said remittances recorded a 16.5% increase compared to December last year, describing the rise as a reflection of overseas Pakistanis’ confidence in the government’s economic policies. He termed the Pakistani diaspora a valuable national asset and said their contribution remained critical for economic stability and development.
According to data reported by state broadcaster Radio Pakistan and the State Bank of Pakistan, overall remittances rose 13% year-on-year in December, while first-half FY26 inflows increased by about 41% compared to the same period last year. The strong December performance played a key role in lifting cumulative remittances during the six-month period.
Country-wise data showed Saudi Arabia as the largest source of remittances with $813 million, followed by the United Arab Emirates at $726 million, the United Kingdom at $560 million, and the United States at $302 million. Economic advisers said the figures reflected sustained engagement of overseas Pakistanis with the domestic economy.
Analysts attributed the surge to higher manpower exports in previous years, a reduced gap between formal and informal exchange rates, and continued government incentives encouraging official remittance channels. While full-year FY26 remittances are projected at $41 billion, economists cautioned that long-term external stability would depend on structural reforms in trade, industry, and exports.
