Due to the unrest and slowing economies in the Arab countries, Pakistan’s remittances went down by 36 per cent in July 2016 to $1.328 billion compared to $1.664 billion received during the same period of last year.
“The overseas Pakistani workers remitted $1.328 billion in the first month (July of 2016-17) compared with $1.664 billion received during the same period in the preceding year,” a statement from the SBP said.
An analyst at Topline brokerage house said the situation of jobs in Saudi Arabia and other Arab countries including Dubai has not been good for the last few months.
However, the SBP’s spokesman rejected this reasoning and said that last year the country received higher remittances on the eve of Eidul Fitre in June 2016 and it is a possibility that the remittances will once again jump in August and September as people will send more and more remittances for sacrificial animals.
Remittances shrunk by $94 million or 25 per cent from Saudi Arab, $74 million or 25 per cent from UAE, $85 million or 50 per cent from the US, $88 million or 61 per cent from UK, $28 million or 16 per cent from GCC countries and $3.2 million or 9 per cent from the European Union.
During July 2016, the inflow of worker’s remittances amounted to $1.328 billion, which is 36 per cent less than June 2016 and 20.16 per cent less than July 2015.
A breakdown of countries in terms of remittances for the month of July 2016 shows that inflows from Saudi Arabia, UAE, USA, UK, GCC countries (including Bahrain, Kuwait, Qatar and Oman) and EU countries amounted to $378.69 million, $293.72 million, $169.68 million, $143.61 million, $169.61 million and $35.74 million respectively compared with the inflows of $474.42 million, $367.51 million, $255.32 million, $232.33 million, $197.86 million and $32.5 million respectively in July 2015.
Remittances received from Norway, Switzerland, Australia, Canada, Japan and other countries during July 2016 amounted to $137.13 million against $103.67 million received in July 2015.