WASHINGTON: According to a Bloomberg report, Pakistan’s measures against illegal dollar trade have significantly improved remittances.
The report, citing State Bank of Pakistan data, said that remittances increased by 34% to $ 14.8 billion in the 5 months to November compared to last year, while the rupee appreciated by 2% this year.
It is considered one of the best-performing emerging market currencies due to the IMF loan program and remittances.
While Finance Minister Muhammad Aurangzeb had also expressed the possibility that $ 35 billion is expected to arrive through remittances this year.
From July to October, Pakistan received $ 11.85 billion in remittances, which is an average of $ 2.962 billion per month.
The country received $3.052 billion in October, $2.859 billion in September and $30.25 billion in 2024, down 13.3% from the previous year.
John Ashbourne, an economist at BMI, a Fitch Solutions company in London, told Bloomberg that currency reforms appear to have boosted remittances and that more remittances are being sent to Pakistan legally.
Financial experts believe the increase in remittances is a result of exchange rate stability and a crackdown on illegal currency trading.
