KARACHI: Saudi Arabia and the United Arab Emirates (UAE) remained top contributors to Pakistan’s highest ever remittance inflow in April, according to the country’s central bank that released the latest data on Tuesday.
“Workers’ remittances rose to an all-time monthly high of $2.8 billion in April 2021, which is 56 percent higher than the same month during the last year,” the State Bank of Pakistan said.
On a cumulative basis, remittances also surpassed previous records during the ten months of the current fiscal year (10MFY21).
The $24.2 billion the country received in July-April FY21, is 29 percent greater than the inflows in the corresponding period last year and the amount has already exceeded the full FY20 level by more than $1 billion.
The central bank took the credit for the highest remittance inflow, saying its proactive policy measures encouraged more remittances through formal channels.
Other contributing factors accounting for the record remittance levels this year include reduced cross-border travel due to COVID-19, orderly foreign exchange market conditions and, more recently, Eid-related money transfers by overseas Pakistanis to their homeland.
Pakistan received $6.4 billion from Saudi Arabia followed by $5.1 billion from the UAE and $2.77 billion from other gulf countries during July-April FY21, taking the overall contribution of the gulf states to 58 percent of the total inflow of $24.2 billion this year.
The United Kingdom and United States were other major contributors with $3.3 billion and $2.2 billion, respectively.
During the month of April, Pakistani workers remitted $664.5 million from Saudi Arabia while those in the UAE dispatched $549.3 million. The trend shows that inflows from the two countries will surpass previous records by the end of the current fiscal year.
During the last fiscal year (FY20), Pakistani workers in Saudi Arabia contributed $6.61 billion while inflows from UAE stood at $5.61 billion.
“Due to travel restriction, people are now transferring more money through digital means,” Samiullah Tariq, head of research at the Pakistan Kuwait Investment, told Arab News on Tuesday. “Previously, they physically carried cash while traveling to the country.”
“Cumulative inflows during the full fiscal year are expected to remain in the range of $28 billion to $29 billion,” he continued, adding: “The inflows in the coming months are expected to tone down.”
Analysts say major inflows from the gulf countries are supporting Pakistan’s balance of payment situation and strengthening the country’s national currency which closed at Rs152.60 against the US dollar in the interbank market on Monday.
Saudi Arabia, UAE remain top contributors to Pakistan remittance inflows
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Saudi Arabia, UAE remain top contributors to Pakistan remittance inflows
- Official statistics compiled by the State Bank of Pakistan point to an all-time monthly high of $2.8 billion last month
- Pakistan’s overall remittance inflow increased by 29 percent to $24.2 billion during the first ten months of the current fiscal year
Pakistan’s Pak-Qatar Family Takaful to raise $3.9 million in Islamic insurance IPO
- Company to offer 50 million shares with a price band of $0.05–0.07 per share
- Proceeds to support capital needs, digital expansion, new customer-focused products
ISLAMABAD: Pak-Qatar Family Takaful Limited, Pakistan’s largest dedicated Islamic insurance provider, will launch an initial public offering this month to raise about Rs1.1 billion ($3.9 million), with book-building scheduled for Dec. 11–12 and registration opening Dec. 8, the company said in a statement on Friday.
The offer will make Pak-Qatar the first dedicated family takaful operator to list on the Pakistan Stock Exchange, marking a notable development for the country’s insurance landscape, where penetration remains low by global standards. The IPO comes as the company looks to scale operations, strengthen technology channels and widen product distribution in a market where Shariah-compliant savings and protection instruments have grown steadily.
“Pak Qatar Family Takaful Limited is all set to list itself at Pakistan Stock Exchange through an IPO with registration starting 08th December. Through this IPO PQFTL is aiming to raise approx. Rs. 1.1 billion,” the statement said.
The company will offer 50 million shares, starting at a floor price of Rs14 per share ($0.05), with a ceiling of Rs21 per share ($0.07). Of the total issue, 37.5 million shares will be allocated to institutional investors, while 12.5 million shares will be offered to the general public.
Lead manager Shahid Ali Habib of Arif Habib Ltd. said investor response has been strong as the offering represents a sector first. According to the statement, proceeds will be used to meet capital requirements, develop new products and accelerate digital outreach.
Pak-Qatar Family Takaful is the country’s first and largest dedicated shariah-compliant family risk-protection provider, holding 44 percent of the total family takaful market and more than 90 percent of the fully dedicated segment, with a nationwide presence of 73 branches and 1,971 field representatives.
Despite Pakistan’s population size, insurance penetration stood at just 0.7 percent in 2024, the company noted, adding that rising awareness and economic shifts leave room for growth compared with advanced markets where penetration has crossed 10%.
