ISLAMABAD: Pakistan received $3.46 billion in workers’ remittances in January 2026, according to data released by the State Bank of Pakistan (SBP) on Tuesday.
The inflows grew by 15.4% year-on-year compared to $3.0 billion in January 2025. However, remittances declined by 4% month-on-month from $3.59 billion recorded in December 2025.
During the first seven months of fiscal year 2025–26 (7MFY26), total remittances reached $23.2 billion, up from $20.9 billion in the same period last year — an increase of 11.3%.
Topline Securities attributed this growth to higher overseas employment in previous years, a narrower gap between formal and informal exchange rates, and the continuation of government incentives for remittances. The firm projects that remittances could reach $41 billion in FY26, compared to $38 billion in FY25.
Remittances remain a crucial source of foreign exchange for Pakistan, supporting the balance of payments, boosting economic activity, and improving household incomes for millions of families dependent on overseas earnings.
The government, along with SBP, continues to encourage formal remittance channels. Since 2009, the Pakistan Remittance Initiative (PRI) has expanded its network from about 25 financial institutions to over 50 in 2024, including conventional banks, Islamic banks, microfinance banks, and exchange companies. In addition, Electronic Money Institutions (EMIs) are now permitted to process remittances through banks, with the number of international remittance partners rising from 45 in 2009 to nearly 400 today.
Country-wise Breakdown
In January 2026, Pakistani workers in Saudi Arabia sent the highest amount — $740 million — up 2% year-on-year but down 9% from December.
Remittances from the UAE increased by 12% YoY to $694 million.
The UK remained another major source, with inflows rising to $572 million — a 29% increase compared to January 2025.
Remittances from the United States stood at $295 million, slightly lower both annually and monthly.
Meanwhile, inflows from European Union countries saw the sharpest rise, jumping 36% year-on-year to $480 million.
