Pakistan Remittances Hit $3.6bn Record High

Monday, January 12, 2026
2 mins read
Pakistan Remittances Hit $3.6bn Record High
Photo Credit: Dawn

Prime Minister Shehbaz Sharif praises overseas Pakistanis for boosting economy, as remittances soar in December 2025 amid IT sector honours.

Islamabad – Pakistan remittances reached $3.6 billion in December 2025, marking a record high. Prime Minister Shehbaz Sharif announced the figure on Sunday, January 11, 2026. The inflows rose 16.5% year-on-year. Sharif met Arfa Karim’s family in Islamabad to discuss IT initiatives.

Pakistan remittances play a key role in South Asia’s economy. They provide foreign exchange reserves and support households. This record level strengthens Pakistan’s fiscal position. It could encourage similar diaspora contributions in neighbouring countries like India and Bangladesh.

Record Remittances December 2025

State Bank of Pakistan data shows workers’ remittances totalled USD 3.6 billion in December 2025. This represents a 16.5% increase from December 2024. Month-on-month, inflows grew by 12.6%.

Major sources include Saudi Arabia, the United Arab Emirates, the United Kingdom, and the United States. Saudi Arabia led with USD 900 million. The UAE followed with USD 700 million. These figures come from official SBP records.

The surge in Pakistan remittances reflects improved economic policies. Overseas Pakistanis sent more funds amid global stability. This trend continues from fiscal year 2025, where annual remittances hit USD 38.3 billion.

Experts attribute the growth to digital transfer platforms. Lower fees and faster processing encourage formal channels. Informal hawala systems decline as a result.

PM Shehbaz Hails Remittances

Prime Minister Shehbaz Sharif hailed the record remittances December 2025 in a statement. He expressed gratitude to overseas Pakistanis.

“Patriotic Pakistanis living abroad remitted 3.6 billion dollars in Dec 2025, which reflects their strong commitment to the country’s economic stability,” Sharif said.

He noted the 16.5% rise compared to the previous year. “The rise in remittances is a clear manifestation of overseas Pakistanis’ confidence in the government’s economic policies,” he added.

Sharif appreciated their rejection of negative propaganda. He stressed their role in national development. “Overseas Pakistanis are our valuable asset, and the entire nation, including myself, takes pride in them,” he stated.

The government prioritises welfare for expatriates. Sharif committed to further facilitation measures. This includes easier visa processes and investment incentives.

Arfa Karim IT Tower Honour

During a meeting on January 11, Sharif discussed IT sector growth. He met Samina Amjad Randhawa and Amjad Karim Randhawa, parents of the late Arfa Karim Randhawa. Arfa Karim Foundation CEO Tabinda Islam also attended.

Sharif paid tribute to Arfa Karim. She was a child prodigy who became the world’s youngest Microsoft Certified Professional at age nine. Karim passed away in 2012 at age 16.

“In recognition of her lasting services, the IT Tower in Lahore has been named Arfa Karim Tower,” Sharif announced.

He emphasised government priorities. “Providing the Pakistani youth with internationally competitive education and training in the information technology sector is among government’s top priorities,” he said.

The federal government continues its laptop distribution programme. It targets high-performing students in 2025-2026. This initiative aims to bridge the digital divide.

Sharif termed the Arfa Karim Foundation a positive step. He assured full government support at all levels. The foundation promotes IT education and innovation.

The parents appreciated government efforts. They noted initiatives for IT development in Pakistan.

Background

Pakistan remittances have grown steadily over years. In fiscal year 2024-2025, inflows reached USD 38.3 billion, a record. This followed USD 31.3 billion in 2023-2024.

The State Bank promotes formal remittances. Campaigns target diaspora communities. Digital wallets and banking apps facilitate transfers.

Arfa Karim gained fame in 2004. She met Bill Gates and represented Pakistan globally. Her legacy inspires youth in STEM fields.

Pakistan aims to become an IT hub. Exports reached USD 3.2 billion in 2025. Freelancers contribute significantly. Government invests in training centres.

Overseas Pakistanis number over 10 million. They reside mainly in the Middle East and Europe. Remittances account for 8% of GDP.

Economic challenges include inflation and debt. Record remittances December 2025 help stabilise reserves. Foreign exchange stood at USD 15 billion in December.

South Asia relies on remittances. The region receives USD 180 billion annually. Pakistan ranks among top recipients.

What’s Next

Analysts predict continued growth in Pakistan remittances for 2026. Projected inflows could exceed USD 40 billion. This depends on global oil prices and job markets.

The government plans more IT parks. Expansion of Arfa Karim IT Tower may include new facilities. Youth training programmes will increase.

Sharif’s administration focuses on exports. IT sector targets USD 5 billion by 2027. Diaspora investments are encouraged.

Pakistan remittances remain vital for economic resilience.

Published in SouthAsianDesk, January 12th, 2026

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