Pakistan remittances rose about 14% to $10.9 billion in the first quarter of fiscal year 2027, according to State Bank of Pakistan (SBP) data released on Friday. The July to September total compares with $9.5 billion in the same period last year, Dawn reported.
Inflows cooled slightly in September, though. Overseas workers sent home $3.6 billion, which is 12.7% more than a year earlier but 1.9% less than in August, based on the SBP figures.
Key details from the SBP data
Saudi Arabia remained the largest source of money. It sent $2.69 billion over the quarter, up 16.2%. The United Arab Emirates followed with $2.23 billion, a rise of 12.6%.
The United Kingdom posted the fastest growth among the major sources. Its transfers climbed 19.4% to $1.64 billion. Meanwhile, European Union countries contributed $1.4 billion, up 9.8%. Other Gulf states sent about $1 billion, an increase of 11.7%.
In September alone, Saudi Arabia accounted for $899 million and the UAE for $748.5 million. The UK added $515 million, while the United States contributed $306 million. The Express Tribune noted that annual growth eased from 16.5% in August to 12.7% in September.
The Gulf remains the backbone of these flows. According to the Express Tribune, Gulf countries supplied roughly 55% of September inflows, and Saudi Arabia and the UAE together made up about 46%.
Why Pakistan remittances matter for the economy
Remittances are among the country’s most important sources of foreign currency. They help pay for imports, support the external account and lift household incomes. The Express Tribune said steady inflows have supported the central bank’s reserve rebuild and a narrower external gap.
The government has set a remittance target of $44 billion for FY27. Last year’s total reached a record $41.6 billion. At the current pace, the Express Tribune reported, the year would end near $43.5 billion, slightly short of the target. Topline Securities expects $44.7 billion.
The rupee closed at 277.00 against the dollar in the interbank market on Friday, up by one paisa, the same report said.
Remittances also sit alongside other pressures on the economy. Wire Examiner has reported that the petrol price rose to Rs398.96 and that Pakistan reached a staff-level agreement with the IMF on a $1.2 billion payout.
What to watch next
Analysts quoted by the Express Tribune say policy attention should focus on skilled migration and student-to-worker routes, not only on Gulf labor exports. That could widen the base of countries sending money home.
The SBP’s October figures will show whether the quarterly pace holds. They will also show whether the government can close the gap to its $44 billion target.
