Pakistan workers’ remittances climbed to $3.6 billion in December 2025, marking a 16.5% year-on-year increase, according to fresh data released by the State Bank of Pakistan (SBP) on Friday. The monthly total also reflected a sharp improvement on a sequential basis, supported by stronger inflows from key Gulf and Western corridors.
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For the first half of the fiscal year, cumulative remittances reached $19.7 billion during July–December FY26. This compared with $17.8 billion in the same period of the previous fiscal year, indicating an 11% year-on-year rise.
December’s inflows were higher than the $3.2 billion recorded in November 2025 and the $3.1 billion received in December 2024. Analysts attributed the continued momentum to manpower exports in recent years, a narrower gap between formal and informal exchange markets, and the government’s remittance incentive programme aimed at drawing flows into regulated channels.
Topline Economy Alert
(Jan 09, 2026)Pakistan’s remittances came in at US$3.6bn, up by 17% YoY & 13% MoM in Dec-25. This takes 1HFY26 remittances to US$19.7bn up 11% YoY.
Remittances growth momentum is continuing on the back higher manpower exports in previous years, lower… pic.twitter.com/H4aD51d1Q8
— Topline Securities Ltd (@toplinesec) January 9, 2026
Topline Securities maintained its projection of $41 billion in total remittances for FY26, representing a 7.5% increase from FY25’s estimated $38 billion. It noted that the combination of labour demand from the Gulf and policy incentives remained supportive for the external account.
Country-wise data showed Saudi Arabia leading the inflow chart with $813 million in December. The UAE followed with $726 million, the UK with $560 million, the EU with $499 million, other GCC states with $333 million, and the United States with $302 million.
Within the UAE, detailed SBP data indicated that Dubai accounted for the bulk of remittances at $565.7 million. Other contributions came from Abu Dhabi at $130 million, Sharjah at $12.75 million, and remaining emirates at $17.50 million.
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Saudi Arabia has remained Pakistan’s largest remittance source for several years, supported by large Pakistani labour communities and ongoing recruitment demand. Analysts suggest the trend could persist as long as manpower exports and favourable currency policies continue.