Economists said a major chunk of workers' remittances mainly arrives from US, Saudi Arab, UK and GCC countries and unfortunately, inflows from all these corridors witnessed slowdown during the first nine months of this fiscal year. However, inflows from EU countries, which have a marginal share in overall home remittances, witnessed uptrend.
The detailed analysis revealed that home remittances from the US fell by 7 percent or $ 129 million to $ 1.730 billion in July-March of this fiscal year compared to $ 1.859 billion in the same period of last fiscal year. Similarly, during the period under review, inflows from UK decreased by 8.46 percent to $ 1.655 billion down from $ 1.808 billion. Inflows from Saudi Arabia stood at $ 4.078 billion in first nine months of this fiscal year compared to $ 4.349 billion in the same period of last fiscal year, down by 6.23 percent or $ 271 million.
Inflows from GCC countries fell by 3.84 percent to 1.706 billion. Home remittances from EU countries went up by 16 percent to 332 million in July-March of this fiscal year compared with $286 million in the corresponding period of last fiscal year. The SBP, in its recent report said the gross number of Pakistanis who proceeded to the GCC has declined due to depressed fiscal conditions owing to low oil prices, the pound sterling's depreciation against the US dollar and stricter regulatory controls in the US are the main factors that will likely to keep remittance inflows close to last year's level.
Month-on-month basis, during March 2017, inflow of workers' remittances amounted to $ 1.694 billion, which are 19.58 percent higher than February 2017 and 1 percent less than March 2016. The country-wise details for March 2017 show that inflows from Saudi Arabia, UAE, USA, UK, GCC countries (including Bahrain, Kuwait, Qatar and Oman) and EU countries amounted to $ 504.6 million, $ 363.24 million, $ 213.29 million, $ 209.14 million, $ 197.21 million and $ 38.85 million respectively compared with the inflow of $ 514.8 million, $ 396.35 million, $ 202.73 million, $ 202.37 million, $ 212.47 million and $ 26.61 million, respectively in March 2016. Remittances received from Norway, Switzerland, Australia, Canada, Japan and other countries during March 2017 amounted to $168.04 million together as against $155.82 million received in March 2016.
Copyright Business Recorder, 2017