Pakistan remittances hit $3.9bn in October, nearly matching four-month trade gap

Pakistan received $3.9 billion in workers' remittances in October, bringing inflows for July-October FY27 to $14.77 billion, close to the country's $14.6 billion merchandise trade deficit for the same four months. State Bank of Pakistan data released on 10 November showed October inflows were up 13.8% from $3.42 billion a year earlier.

October remittances rose 8.5% from $3.59 billion in September and were the highest monthly total recorded so far in FY27. Cumulative inflows increased 14% from $12.96 billion in July-October last year.

Saudi Arabia and the United Arab Emirates contributed $3.67 billion and $3.05 billion, respectively, during the first four months of FY27. Remittances from all Gulf Cooperation Council countries reached $8.09 billion, or 54.8% of the total.

Waqas Ghani, JS Global's head of equity research and senior vice president, said sustained inflows were helping contain pressure on the current account and supporting foreign exchange reserves. Separately, Emre Akcakmak of East Capital said trailing 12-month remittances of $44 billion covered 100% of Pakistan's external deficits and accounted for about 10% of GDP.