Overseas workers remittances surge 9.3% in March 2020
KARACHI: Total overseas workers remittances to Pakistan during March 2020 increased by 9.3% to US$1,894mn compared with March 2019. During 9MFY20, remittances increased by 6.0% YoY to US$16.99bn. Remittances increased 3.8% if compared with February 2020. Major contributors to growth in remittances were UAE (+8.6%), KSA (+7.2%) and USA (+5.5%). On YoY basis, growth in US-based remittances (36.2%) overshadowed the other two, i.e. KSA (+11.4%) and UAE (+11.2%). Growth in remittances in Pakistan has historically remained robust in general. Despite Covid-19 being the theme across the globe, remittances flowing into Pakistan during Apr-2020 might be somewhat cushioned due to Ramadan beginning in this month. However, if the pandemic prolongs (which unfortunately seems the case), there will undoubtedly be a risk to remittances with the initial impact likely to emerge from oil-exporting Gulf countries.